Contact: Liz Pierce, 212.313.1173, [email protected]

SIFMA Commends House Committee for Taking Action to Stop Eminent Domain Scheme

Washington, DC, May 21, 2014-SIFMA today issued the following statement from Kenneth E. Bentsen, Jr., SIFMA president and CEO, after the House Committee on Appropriations voted to adopt a legislative provision (Section 233) which, if signed into law, would effectively eliminate the threat that eminent domain could be used to seize mortgages, a serious concern of housing market participants for over two years:

“SIFMA commends the members of the House Committee on Appropriations for adopting a provision which would  prevent the Federal Housing Administration (FHA) from using taxpayer monies to facilitate a scheme by which eminent domain would be used to seize mortgage loans from Main Street investors.  Should FHA allow this scheme to move forward, investors in pension plans, 401Ks, mutual funds and other savings and retirement accounts will suffer the losses.  Today’s action is an important development in the fight to remove a cloud hanging over our housing markets.”