Missouri Governor Jay Nixon is releasing $21.5-million in money he had been withholding in the state budget. Nixon said the release is possible thanks to a settlement between Missouri and financial ratings agency Standard and Poor’s.
Among that is $8-million for the state’s seven veterans homes, $4.68-million for the University of Missouri School of Medicine Clinical Campus in Springfield, and $1.5-million dollars for cyber crimes task forces.
Attorney General Chris Koster and Secretary of State Jason Kander announced the settlement with Standard and Poor’s and its parent company, McGraw Hill Financial, Inc., resolving the state’s claims alleging securities fraud and deceptive business practices.
Koster and Kander filed the suit two years ago this month, charging S&P with four counts of securities fraud and one count of consumer fraud. They accused the agency of inflating credit ratings to lure clients.
The suit was filed in parallel with suits brought by the U.S. Department of Justice and 19 other states and the District of Columbia.
Standard and Poor’s also agreed to a statement of facts acknowledging conduct related to its analysis of structured finance securities.