Not only have the loans been repaid, but TARP was unfortunately a necessary evil. I'm certainly against socializing banks, but in this case we had few alternatives. A great book on this is "On The Brink" by Henry Paulson (former Treasury Secretary).
I haven't read the book but I worked in DC during bailout and sat in on the Senate hearings with all three of these rating agencies. I tell ya, Hank Paulson was much more confident during the meltdown than the head of each agency. I'm not surprised these guys are under the gun, they've playing stupid and deserve this suit.
I thought the book was also pretty interesting. Paulson was in a very difficult position -- one I certainly do not envy -- so his first-hand perspective was worth the read.