Newsweek quotes R&R Consulting‘s Sylvain Raynes regarding recent testimony by a former Moody’s managing director before the House Committee on Oversight and Government Reform alleging that the rating agency was criminally deceiving investors by purportedly inflating ratings on securities even into the current year: “… another former Moody’s executive, Sylvain Raynes, while endorsing Kolchinsky’s critique, says there’s no other way but to make Moody’s pay the ultimate price. ‘We need a virgin to throw into the volcano,’ he says. ‘It’s not possible to reform Moody’s. It’s like saying “I’m a reformed Nazi.”‘ ”
Read the full article by Michael Hirsh, “Financial Ratings Agencies Worse than Useless,” Newsweek, October 1, 2009.
