New York’s Proposed Foreclosure Fraud Prevention Act Would Criminalize “Robo-Signing”

July 02, 2012
On June 22, the New York State Assembly passed the “Foreclosure Fraud Prevention Act of 2012,” which defines residential mortgage foreclosure fraud and criminalizes “robo-signing” and other “fraudulent or deceptive” practices by agents or managers in the residential mortgage business. This update examines the bill, which represents the latest attempt by state governments to impose criminal liability on fraudulent foreclosure practices by mortgage servicers or their employees.