Lawsuit filed by California against Standard & Poor’s

Cali­for­nia filed suit against Wall Street’s biggest cred­it rat­ing agency, Stand­ard & Poor’s, char­ging the firm with vi­ol­at­ing the state’s False Claims Act by us­ing “ma­gic num­bers” and “guesses” to in­flate rat­ings that ul­ti­mately cost Cali­for­nia pub­lic pen­sion funds an es­tim­ated $1 bil­lion.