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Thursday, March 22, 2012 - 3:19am

Bill Outlaws Foreclosure Fraud

Foreclosure fraud would be a crime under a bill passed unanimously in the state Senate Wednesday.

Georgia law currently criminalizes fraud during the mortgage process, but not during a foreclosure.

Attorney General Sam Olens said the bill would help protect consumers against forgeries or so-called robo-signing on the part of mortgage companies.

“Georgia’s current mortgage fraud statute is insufficient and must be revised to criminalize fraud throughout the entire lending process, including foreclosure,” he said in a news release.

Olens and other state attorneys general last month announced a $25 billion settlement with the nation’s five largest mortgage servicers over that kind of fraud.

The bill now moves to the House for final approval.