The following newspaper report evidences the turn taken by Bond Insurance Companies and Mortgage Insurance Companies to recoup some of their Claims payments after the Big Collapse. The Bond and Mortgage Insurers may end up leading a March of the Penguins filing recoupment lawsuits as they are joined by many other parties who were also called upon to make large payments in the past few years:
Bond and mortgage insurers have recently made efforts to sift loan files for misrepresentations and say they are seeing a lot. Bond insurer Assured Guaranty recently said a "material amount" of second-lien mortgages in transactions it has insured appear to have misrepresentations. If the insurers start going after and winning big sums, investors in securitizations could join in.
Peter Eavis, "Heard on the Street/Mortgages Could Haunt H&R Block" p. C10, col. 1 (Wall Street Journal, Thursday, May 6, 2010)(subscription required to access the Wall Street Journal Online).
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