SEC refused Chinese Dagong Global Credit Rating in the license for assigning ratings of bonds in the U.S.

Commission on the Securities and Exchange Commission (SEC) has refused Chinese Dagong Global Credit Rating in the license for assigning ratings of bonds in the U.S., wrote on Monday, the newspaper Vedomosti.

The decision was taken because the Chinese control agencies are entitled to limit his correspondence with the SEC and is obliged to remove all "state secrets" from the documents Dagong, before they can be sent to the SEC, told the commission.

This is the first time that SEC denies the agency the status of "nationally recognized statistical-rating organization", the newspaper notes. The fact that Dagong - not an American company, no matter what, says SEC. Dagong were not registered as "currently not possible to keep records, the production process and meet the requirements of inspection in accordance with federal securities laws," notes the SEC. The Commission requires that the rating agencies have kept the details of who pays for the rating, according to records of supervisory requirements and the names of credit analysts.

"As a Chinese credit rating agency Dagong has the right to protect the interests of his country's credit in the U.S. through the rating operations", - said in a response statement Dagong. Chinese agency also reported that the SEC believes the decision and was considering discriminatory application of legal measures.

Beijing Dagong Global Credit Rating, founded in 1994, has more than two dozen offices in China. The agency, which employs more than 500 people, "seeks to create a national brand worldwide." Dagong not disclose the composition of shareholders, but it is known that the agency relies on support from the Chinese government.