S&P's inability, together with the Federal Reserve, Treasury, and other market participants, to predict the extent of the most catastrophic meltdown since the Great Depression reveals a lack of prescience, but not fraud.
The DOJ’s complaint makes numerous allegations that are entirely without merit. They are internally contradictory -- with emails cited that had no effect on the CDOs at issue -- and logically flawed (see “The DOJ Complaint Re S&P: The Facts” below).
The "In The Media" section includes third-party video and print media coverage of the case. The section labeled "S&P On Housing '06/'07" contains S&P reports published during 2006-2007 on the U.S. housing market and on U.S. residential mortgage-backed securities (RMBS), showing the good-faith work of S&P’s professionals. The fact is that S&P's ratings were based on the same subprime mortgage data available to the rest of the market – including U.S. Government officials who in 2007 publicly stated that problems in the subprime market appeared to be contained.