Gov. Matt Blunt announced a batch of new proposals Monday aimed at protecting homebuyers from mortgage fraud.
"Our plan will help at-risk homeowners keep their homes by providing new consumer protections and creating new penalties for those who commit mortgage fraud including prison time and steep monetary fines," Blunt said in a statement.
The plan includes giving a state commission greater power to revoke real estate licenses for mortgage fraud, and creating the felony crime of mortgage fraud with a seven-year prison sentence.
Blunt also wants at-risk homeowners to be given more tools to get help, like a hotline. He also wants the commissioner of the Division of Finance to have the power to issue cease-and-desist orders to stop mortgage fraud or exploitative business practices against at-risk Missouri homeowners.