Stockholders v Moody's Investors Service, Inc.
Stockholders File Lawsuit Against Moody's Investors Service, Inc.
On December 7, 2005, JPMAC caused a Form S-3 Registration Statement (No. 333- 130192) to be filed with the Securities and Exchange Commission ("SEC") in connection with the issuance of billions of dollars of Certificates.' The Certificates were sold to investors pursuant to Prospectuses and Prospectus Supplements, each of which was incorporated into the Registration Statement (collectively the "Offering Documents").
The Certificates were supported by home mortgage loans (the "Mortgage Loans") originated by various lenders identified in the Offering Documents, including Chase Home Finance LLC, WMC Mortgage Corporation, Countrywide Home Loans, Inc. and PHH Mortgage Corporation (generally referred to as, the "Originators"). The Offering Documents represented that the mortgage pools primarily consisted of loans secured by first or second liens on residential properties.
Certificate holders effectively owned an interest in the underlying Mortgage Loans and were entitled to receive "pass-through" distributions (payments of interest and, if applicable, principal) made by loan borrowers. The Trusts issued the Certificates in multiple "tranches," or classes, which were generally organized according to the priority with which they were entitled to receive the "pass-through" distributions. In general, those tranches designated as "senior" received distributions ahead of those designated as "subordinate." This capital structure required the lower ranked, subordinate tranches to absorb losses first, but paid investors a higher coupon rate.
If you bought Moody's Investors Service, Inc. securities and would like to obtain information about the Moody's Investors Service, Inc. lawsuit, then you are invited to call Kahn Swick Foti, LLC toll free at (866) 467-1400 to speak with an attorney or visit www.ksfcounsel.com.
