CONCORD, N.H. (AP) - New Hampshire’s House has voted to postpone action on a fund for victims of a mortgage fraud scheme.
The House voted 324-10 Wednesday without debate to table a Senate-passed bill that establishes a recovery fund for victims of Financial Resources Mortgage. The Meredith firm swindled investors out of $33 million.
The Senate’s version of the bill created a fund with $3 million deposited annually to pay back the investors’ initial investment over time. Supporters in the House had proposed capping the distribution at $5 million. They had argued the state bore some responsibility for not stopping the scam.
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Opponents argued investors took the risk and the state can’t be held responsible. They said establishing a fund set a precedent for future claims when investors lose money and blame the state.
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