Wall Street firms such as Goldman Sachs Group Inc. and Citigroup Inc. created products that were “tragically deficient,” in the view of the chairman of the panel charged by Congress with identifying the causes of the financial crisis.
The Financial Crisis Inquiry Commission doesn’t have the staff or money to fully respond to an investigation by congressional Republicans into allegations of overspending and partisanship, its chairman said.
Moody’s Corp. ignored signals that housing prices would decline and assigned triple-A ratings to mortgage securities like characters from “I Love Lucy,” said Phil Angelides , chairman of the Financial Crisis Inquiry Commission.
When JPMorgan Chase & Co. Chief Executive Officer Jamie Dimon appeared before the Financial Crisis Inquiry Commission, he testified that he told his daughter a financial crisis is something that happens every five to seven years. That observation turned out to be overly optimistic.
In the six months since the Financial Crisis Inquiry Commission’s report was released, a small band of critics -- with many Congressional Republicans in tow -- has labored mightily to undermine the credibility of the FCIC’s work. They have attacked the report, even as its accuracy has withstood the scrutiny of the financial industry, the media and others.
Moody’s Corp. Chief Executive Officer Raymond McDaniel said his company’s ratings of collateralized debt obligations and residential mortgage securities in the past several years have been “deeply disappointing.”