Civil case
United States v. McGraw-Hill Companies, Inc. and Standard & Poor's Financial Services LLC
- Authority
- US District Court for the Central District of California
- Case number
- Not published
- Filed or opened
- February 2013
- Organization
- S&P Global Ratings
- Current stage
- Settled on 3 February 2015 together with claims by 19 states and the District of Columbia.
- Outcome
- Settled. US$687.5 million penalty to the federal government and US$687.5 million to the states and the District of Columbia. No findings of violations of lawS2.
Decisions and steps
Claims this case bears on
- Partly supported83A senior Justice Department official said in February 2015 that S&P had admitted facts that make clear its own unlawful role in the financial crisis.Regulator statement, 3 February 20154 records citedFraud
- Outdated82Lawyers for S&P argued in 2013 that the Justice Department suit was retaliation for the August 2011 downgrade of the United States credit rating.Press report, 4 September 20132 records citedCorporate status
- Unresolved63S&P said in February 2013 that the Justice Department suit was without factual or legal merit, and it had argued in investor cases that its ratings were opinions protected as free speech.Company statement, 6 February 20133 records citedFraud
Sources
- S7Tier C Judge denies Standard & Poor's bid to dismiss $5 billion civil suitDaily Journal. Press report. 19 July 2013.Report by Henry Meier on the denial of the motion to dismiss late on Tuesday 16 July 2013. The reasoning is behind a paywall and the order itself was not read.
- S1Tier A Justice Department and State Partners Secure $1.375 Billion Settlement with S&P for Defrauding Investors in the Lead Up to the Financial CrisisUS Department of Justice. Government press release. 3 February 2015.Supports the amount, the split, the agreed facts and the retraction of the retaliation claim. It does not state that S&P admitted a violation of law.Link working, checked 25 October 2026
- S2Tier B McGraw Hill Financial And S&P Ratings Reach Settlements With DOJ, Attorneys General Of 19 States And District Of Columbia And With CalPERSMcGraw Hill Financial. Company statement. 3 February 2015.Company statement giving the payments, including US$125 million to CalPERS, and saying there were no findings of violations of law. It is the company's own account.Link working, checked 25 October 2026