Bill Text: GA HB237 | 2011-2012 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Residential mortgage fraud; mortgage lending process; revise definition

Spectrum: Partisan Bill (Republican 6-0)

Status: (Passed) 2012-07-01 - Effective Date [HB237 Detail]

Download: Georgia-2011-HB237-Introduced.html

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11 LC 29 4527

House Bill 237

By: Representatives Golick of the 34th, Morris of the 155th, Hatfield of the 177th, Ramsey of the 72nd, and Setzler of the 35th

A BILL TO BE ENTITLED
AN ACT

To amend Article 5 of Chapter 8 of Title 16 of the Official Code of Georgia Annotated, relating to residential mortgage fraud, so as revise the definition of "mortgage lending process"; to provide for investigative and subpoena powers of district attorneys and the Attorney General relative to residential mortgage fraud; to provide for related matters; to repeal conflicting laws; and for other purposes.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:

SECTION 1.

Article 5 of Chapter 8 of Title 16 of the Official Code of Georgia Annotated, relating to residential mortgage fraud, is amended by revising paragraph (1) of Code Section 16-8-101, relating to definitions, as follows:

"(1) 'Mortgage lending process' means the process through which a person seeks or obtains a residential mortgage loan including, but not limited to, solicitation, application, or origination, negotiation of terms, third-party provider services, underwriting, signing and closing, and funding of the loan. Such term shall also include the execution of deeds under power of sale that are required to be recorded pursuant to Code Section 44-14-160 and the execution of assignments that are required to be recorded pursuant to subsection (b) of Code Section 44-14-162. Documents involved in the mortgage lending process include, but are not limited to, uniform residential loan applications or other loan applications; appraisal reports; HUD-1 settlement statements; supporting personal documentation for loan applications such as W-2 forms, verifications of income and employment, bank statements, tax returns, and payroll stubs; and any required disclosures."

SECTION 2.

Said article is further amended by adding a new Code section to read as follows:

"16-8-107.

(a) In any investigation of a violation of this article or other criminal violations involving fraudulent real estate transactions, the Attorney General or any district attorney shall be authorized to issue a subpoena to compel the production of any books, papers, documents, or other tangible things, including records and documents contained within, or generated by, a computer or other electronic device.

(b) Upon the failure of a person without lawful excuse to obey a subpoena, the Attorney General or district attorney may apply to a superior court having jurisdiction for an order compelling compliance. Such person may object to the subpoena on grounds that it fails to comply with this Code section or upon any constitutional or other legal right or privilege of such person. The court may issue an order modifying or setting aside such subpoena or directing compliance with the original subpoena. Failure to obey a subpoena issued pursuant to this Code section may be punished by the court as contempt of court."

SECTION 3.

All laws and parts of laws in conflict with this Act are repealed.