U.S. sues S&P and McGraw-Hill over mortgage-bond ratings

The Justice Department has sued credit rating agency Standard & Poor's and parent McGraw-Hill, claiming S&P intentionally understated the credit risk of mortgage-backed securities. The U.S. government accuses McGraw-Hill and S&P of wire, financial-institution and mail fraud. McGraw-Hill's share price fell the most in 25 years.

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