Americas Watchdog Seeks Whistle Blowers Related To Municipal Tax Fraud, AKA "Yield-Burning"
(PRWEB) September 4, 2008 -- Americas Watchdog and its Wall Street Fraud Watchdog are launching a national investigation into US banks or Wall Street investment firms committing tax fraud with municipal securities. The years of interest are 2001-2005. According to Americas Watchdog, "why are the coupons of 6% plus on bonds due in a year? Bonds due in a year usually carry the lowest coupons of 1% or 2%." Insiders with specific information should contact Americas Watchdog at 866-714-6466.
Is this a tax rule violation? According to Americas Watchdog, "yes. IRS Rule 171a does not allow buyers to amortize the premium paid on tax exempt bonds. This is not a million dollar problem, we think it is a multimillion or billion dollar dollar problem, we think we can prove it with individuals, or insiders with specific information, and there could be significant rewards involved." Insiders or individuals with specific information related to US banks or investment bankers involved in municipal tax fraud schemes that defrauded the IRS should contact Americas Watchdog's Wall Street Fraud Watchdog immediately at 866-714-6466.
Also known as "laundered bond prices" or "banks gaming the muni bond system", Americas Watchdog is reaching out to individuals who know what has happened, and can prove it.
What is this about? According to Americas Watchdog, "this is a scheme in which underwriting firms routinely overcharged issuers for the securities they used in refinancing bond deals. Without a tax scheme, it is almost impossible for banks to make money by buying short term municipal bonds. But from 2001 to 2005--they did."
Individuals with specific information about these practices should contact Americas Watchdog at 866-714-6466 or visit their web site at Http://WallStreetFraudWatchdog.Com.
Americas Watchdog and its Wall Street Fraud Watchdog are all about taxpayer/consumer protection and corporate responsibility.
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