Civil charges were filed against Deep Shah by the SEC in November 2009 which order the ex-analyst to repay $8.2 million in profits and $1.76 million worth of interest.
According to the allegations, Shah is thought to have passed on insider information relating to the acquisitions of Hilton Hotels and Kronos.
The SEC, which was quoted by Reuters, said: "As an employee of Moody's, he was entrusted by Moody's clients - Hilton and Kronos - with the very information he chose to share."
"The court should enter a default judgment against Shah due to his failure to answer or otherwise respond to the commission's complaint."
Shah is one of a number of people embroiled in an investigation into insider dealing at the Galleon Group hedge fund, which recently saw the man at the centre of the probe, Raj Rajaratnam, found guilty on 14 counts of fraud and conspiracy.
The former analyst has yet to be located by the SEC although he is believed to be currently living in India.
By Jim Ottewill