Americas Watchdog Warns Pension Funds, Investors and Pension Fund Advisers Its Time to Find Out if Your Mortgage Backed Security Portfolio is a Ticking Time Bomb

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Americas Watchdog's has been warning about the collapse of the US real estate market & the dire consequences that would be faced by pension funds & investors, since early 2005. This all begs the question where was the integrity on the part of banks or investment bankers when selling the garbage mortgage backed security, and where was the due diligence on the part of the banks & investment bankers who sold mortgage backed security portfolios? Americas Watchdog says there was no due diligence; just greed. As a result Americas Watchdog is offering pension funds or MBS investors an audit that will define potential for failure for the portfolio, and show the investor/pension fund where they were sold a bill of goods by the bank or investment banker.

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In late 2001 national & regional home builders started inflating home values in most major US metropolitan areas. At the same time banks started to offer ridiculous mortgage products, such as stated income loans, no asset verification loans, pay option adjustable rate mortgages, etc. The valuations were not justified and the mortgage products were insane.

Americas Watchdog's National Mortgage Complaint Center is the most authoritative source in the United States on predatory mortgage lending, and Americas Watchdog's Corporate Whistle Blower Center is one of the best known shareholder protection services in the world. Americas Watchdog's National Mortgage Complaint Center accurately predicted the collapse of the US residential real estate market in early 2005. At the same time, the group warned that, "a US real estate market collapse could put at risk the entire economy and US pension funds." Americas Watchdog is now predicting that, "meaningless US Congressional real estate bail out plans will fail, and the US real estate disaster will actually get much worse." According to the group, "the sixty four thousand dollar question is how many US pension funds will fail or be unable to meet their monthly obligations to their pensioner clients as this evolves"?

So how did this happen?

  • According to Americas Watchdog, "In late 2001 national & regional home builders started inflating home values in most major US metropolitan areas. At the same time banks started to offer ridiculous mortgage products, such as stated income loans, no asset verification loans, pay option adjustable rate mortgages, etc. The valuations were not justified and the mortgage products were insane."
  • US homeowners or real estate agents seeing the home builders inflating their prices over market and getting them, started to inflate the values of their homes. And the US real estate boom was on. There was one very big problem. The inflated real estate values had fraud as a foundation. So when the music stopped, there would be no chair for the investors or pension funds holding real estate portfolios worth $0.65 cents on the dollar.
  • Wall Street, failed to recognize the warning signs and they kept refinancing, financing, buying and selling. All thinking there would never be an end to the boom/frenzy. According to Americas Watchdog, "the Banks & investment bankers were so greedy they did not care if they sold the pension fund or investor a ticking time bomb."
  • By early 2006 the US real estate boom was dead, and foreclosures were on the rise. The problem: this time was the foreclosure's value was worth less than the mortgage amount. It still took Wall Street to mid 2007 to even recognize it was an epic real estate disaster.
  • By early 2007 mortgage banks or mortgage lenders started to collapse because they could not buy back the failed mortgage backed security from the investor or pension fund. To date 232 US mortgage bankers have failed because of the US real estate disaster. What does this mean? It means they cannot repay the investor/pension fund for the failed mortgage backed security.
  • In 2007 it became apparent the mortgage insurance firms had not set aside enough money to cover the US housing collapse.

So where does this leave us?
According to Americas Watchdog this leaves us in a real mess. The group has indicated that "1 out of 9 current US homeowners may owe more on their home than it is worth. As a result the National Mortgage Complaint Center expects at least 2 million, foreclosures, deed in lieu of foreclosure, or short sales in 2008 and perhaps as many or more in 2009. The group also expects at least half of the top 20 US home builders to be in bankruptcy by mid 2009.

So what should pension funds, pension fund advisers, investors, security class action law firms, shareholder groups do? According to Americas Watchdog, "they should contact our group in order to get an honest determination as to what their actual exposure actually is, in what will end up to be the worst real estate disaster in US history".

According to Americas Watchdog, "Banks and investment bankers were not thinking about investor or pension fund protection when the bundled up these mortgage backed security portfolios full of junk loans and sold them. The banks and investment bankers lied about the quality of the mortgage backed security, thinking the real estate market bonanza would go on forever."

Because Americas Watchdog thinks the time is critical for pension funds, investors, pension fund advisers or their law firms to find out how dire their situation is, the group is offering the following services:

  • Americas Watchdog has the capability to do comprehensive mortgage backed securities audits to let the pension fund, investor or their law firm know how severe their exposure is in the US real estate crisis.
  • Americas Watchdog is aware of two cases where law firms representing pension funds were ill prepared, and did not understand predatory mortgage lending or junk mortgage backed securities. As a result their lawsuits were dismissed. Americas Watchdog would not let a lawyer representing a pension fund go into court without knowing what a FICO score was, or what a real estate flipper is. Americas Watchdog can assist law firms representing investors or pension funds understand the playing field and with the things that need to get discovered for a successful trial outcome.

Americas Watchdog and its President are also available for face to face meetings or presentations to investor groups, pension funds, investment bankers or their law firms in the US, Japan, Europe & Middle East in order to show them exactly how the US real estate disaster happened, with specific time lines, the cast of characters that made it all possible, and how to protect themselves in what for what will be a very turbulent time, for the US and Global economy. Pension funds, pension fund advisers, investors, or their law firms are welcome to contact Americas Watchdog anytime at 866-714-6466.or visit their web sites at Http://AmericasWatchdog.com and click the Corporate Whistle Blower Center for contact information.

Americas Watchdog is all about consumer/investor protection and corporate responsibility.

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THOMAS MARTIN
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