Yesterday...As Italy's economy is larger than Spain Portugal Ireland Greece COMBINED....Italian prosecutors have wide, discretionary powers to look into alleged offences brought to their attention.
Italian Authorities Raid Milan Offices of S&P, Moody's [UK -G]
Italian authorities seized documents from the Milan offices of ratings agencies Standard & Poor’s and Moody’s Investors Service on Thursday. The seizure was part of an investigation that the two agencies were allegedly engaged in dubious movements in domestic share prices...
Carlo Maria Capistro, head of the prosecutor’s office in Trani which led the raid, said the action sought to verify if the two agencies followed Italian regulations in carrying out their business. [Marketwatch] (Cont. below video)
And to ask questions which pertain to (in this case) appointments and actions which affect the Nation's Sovereignty...
Video Caption:. Mario Borghezio, Lega Nord (ITALY), Member of the European Parliament with the group 'Europe of Freedom and Democracy', questions the nominations of Bilderberg and Trilateral attendees for the posts of EU President and EU foreign minister.(Cont. S&P/Moody's Raids) S&P and Moody’s said the probe has no basis. The raid is seen as the eurozone government’s way of getting back at ratings agencies, which recently downgraded the credit rating of Greece, Portugal and Ireland... [Read]
(UPDATE: Moody's said it took "its responsibilities surrounding the dissemination of market-sensitive information is taken very seriously", and they are co-operating with the authorities.)
China's lending practices are substantially worse; and are said to prevent Rating agencies from checking, by downgrading the actual agencies... Today, China damns USA debt; but in 1 decade, USA lost $7T in JOBS (1/2 US Nat'l debt) to "former US aid recipient" China [Forbes.com]
Note: Those seeking a harbinger of what may be in store for global capital markets come Sunday 5 pm should look to Saudi Arabia where the Tadawul just dropped by over 5% today... [Read]