Ex-Moody's Managing Director's Whistle-Blower Suit Tossed
- Ilya Kolchinsky claimed company inflated CDS ratings
- Kolchinsky testified before Congress in 2009 and 2010
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A federal judge threw a lawsuit of a former Moody’s Corp. managing director who claimed the company inflated the ratings of credit default swaps, collateralized debt obligations and residential mortgage-backed securities and defrauded the U.S.
Ilya Eric Kolchinsky can try to replead one claim relating to Moody’s electronic service for delivering credit ratings to subscribers, including government agencies, U.S. District Judge William Pauley said in Thursday’s ruling. The rest of the claims in the 119-page complaint were filed too late, the judge said.