Mortgage regulation has support

Scott Reeder

Friday, May 21, 1999 | 10:52 a.m.

CARSON CITY -- A mortgage regulation bill was expected to be endorsed by a Senate committee today. The bill originated partially in response to the collapse of the Harley L. Harmon Mortgage Co. in Las Vegas that cost investors millions of dollars collectively.

Some people in the mortgage industry are concerned about a provision of the bill, which would require investors to sign a power of attorney for each investment transaction. Currently, investors can sign a blanket power of attorney when they begin working with a particular mortgage broker.

"I don't care if they are concerned about it," said Sen. Randolph Townsend, R-Reno.

No criminal charges were ever filed in connection with the practices of the Harley L. Harmon Mortgage Co., although the FBI is still investigating.

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