Consumer protection will be further enhanced by amendments proposed to the Mortgage Broker Act which governs the financial activities for mortgage brokers. The Department of Government Services has reviewed the act to ensure consistent enforcement activities to prevent financial losses to consumers. The Honourable Harry Harding, Minister of Government Services, brought forward Bill 34 today to make these amendments.

"There has been a great deal of attention to a number of high-profile frauds at home, in the United States of America and abroad that have been financially and emotionally devastating to consumers," said Minister Harding. "It is our hope that by making the Mortgage Brokers Act consistent with our other financial services acts we are strengthening our enforcement abilities so that consumers will be better protected from those who deliberately set out to steal their hard-earned money."

The amendments are similar to amendments made during the spring 2010 sitting of the House of Assembly to the Securities Act; the Insurance Adjusters, Agents and Brokers Act; the Prepaid Funeral Services Act; and, the Insurance Companies Act.

Some highlights of the amendments include the ability of judges to issue search warrants for investigators to enter private dwellings and the ability to seize documents or other items during a search. As well, investigators or examiners will be able to summon an individual to testify under oath or produce documents and it will be an offence to obstruct or interfere with an investigator or examiner. The courts will also have the ability to increase penalties for anyone who violates the act.

"We have carefully reviewed this legislation and recognizes that the level of enforcement needs to be more consistent with other legislation," said Minister Harding. "In recent years we have made considerable efforts to review legislation to determine if it can be strengthened and Bill 34 is an excellent example of that effort."

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