The report centres round allegations that BBC mystery shoppers were encouraged to overstate their earnings for self-certification mortgage applications by BM mortgage advisers.
BM were alerted to the charges at the end of last week, sparking a ‘detailed investigation’ from the lender into the facts behind the allegations.
The half-hour programme, called ‘Mortgage Madness’ made by ‘The Money Programme’ will be aired tomorrow at 7.30 on BBC2.
BM said in an official statement that if the allegations are substantiated, the suspended BM staff members will face disciplinary action and in the meantime, all 25 branch mortgage advisers have been re-called to head office to re-train on self-cert advisory procedures.
Dan Watkins, managing director, Birmingham Midshires, said: “We will not tolerate any behaviour that might compromise our brand. That is why we have taken action.”
No details have been released on the programme, apparently to give solicitors time to go through the programme with a ‘fine toothcomb. But preview guides said the half-hour programme shed ‘light on the mystery of record house price increases despite a widely predicted slowdown.’
Money Programme producer, Michael Robinson is quoted by The Times as saying: “This is the most remarkable story I have ever worked on.”
Matthew Grayson, spokesman, Birmingham Midshires, said: “At this stage the wider allegations are very specific and it is too early to speculate on the results of the investigation. But self-cert loans are a genuine market for those who cannot secure a mortgage by average means and the fact remains that the average deposit produced for a self-cert loan is 27 per cent of the loan.”
