Maryland Lawmakers Nearing Passage Of Mortgage Fraud, Foreclosure Rescue Reform

The Washington Post reports:

• The House of Delegates overwhelmingly passed bills yesterday creating a criminal statute allowing authorities to prosecute mortgage fraud and prohibiting "foreclosure rescue transactions," in which homeowners are tricked into signing over residences to third parties.

• The fraud bill, proposed by Gov. Martin O'Malley's administration, passed 116 to 19. The legislation aims to stop misrepresentations from mortgage lenders. The foreclosure rescue bill was approved 135 to 1. The proposals are part of a package of bills introduced by O'Malley (D) to slow the state's rising rate of foreclosures. The House and Senate passed other foreclosure bills this week.

Source: House Passes Mortgage Fraud, Foreclosure Rescue Bills.

See also, The Baltimore Sun: Home loan reform is near (Lawmakers OK last bill in package to prevent future crises):

• With passage of the last bill yesterday, lawmakers expect to quickly reconcile minor differences between versions of the legislation approved by the Senate and House of Delegates before sending them to Gov. Martin O'Malley, whose administration made the reforms a top priority this year. [...] The bill [...] would allow aggrieved borrowers to pursue a [mortgage] fraud case in private litigation.