Actually, the information was dead-on perfectly accurate. They got the information from the InterNIC database at that time. However, when the government lifted Network Solutions' monopoly and opened it up to other domain registrars, NSI had to re-do parts of their system to allow the other registrars to directly input the domain registrations. During that process, they changed the way they provided access to the raw database (and also changed the criteria on who could get the access), and that's when Domain Watch stopped being able to get the information.
I heard that they were trying to fix the system and find another way, but since it's been well over a year (closer to a year and a half now, actually), I'm guessing they just gave up. It's too bad, too - the info that they provided was very useful.