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The controversy concerning unsolicited bond ratings is that the rating agencies would rate a company without permission and then demand that the company pay them or else they would rate them poorly. This is totally unethical and some rating agencies have been subpoenaed for doing so. This is an issue because the rating system is supposed to be untainted so that the investor has the most knowledge about the company and bond he or she is about to invest in. Any meddling of the ratings can be favorable or unfavorable to one company or another which gives an unfair advantage or disadvantage. (posted by Douglas Campbell)

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