Eric Dinallo, the former New York insurance superintendent running to be the state’s attorney general, said the system of having debt issuers pay for credit ratings needs to be reformed.
“Issuer-paid ratings without some kind of independent check on it should be scrapped,” Dinallo said today in an interview with Bloomberg Television. “It doesn’t work, it’s led to the worst biases.”
To contact the reporters on this story: Sapna Maheshwari in New York at email@example.com; Erik Schatzker in New York at firstname.lastname@example.org.
To contact the editor responsible for this story: Dan Kraut at email@example.com