Sylvia Larsen for NH Senate

FOR IMMEDIATE RELEASE
Wednesday, February 10, 2010
Contact: Senate President Sylvia Larsen
(603) 271-2111

CONCORD – Senate President Sylvia Larsen mailed a letter today to the state Attorney General urging his prompt investigation into allegations of wrongdoing by the Financial Resources Mortgage Co. and asking for his input on what laws need to be strengthened to prevent such problems in the future.

“Given the devastating financial effect that these failed investments have had on many of our constituents, we wanted to offer our encouragement toward your prompt and thorough review of these charges,” the letter reads.

It goes on to explain that the Senate will reluctantly defer a legislative inquiry because of the confidentiality constraints imposed by the ongoing criminal investigation. “Nevertheless, we are receiving numerous and justifiable pleas from constituent investors for some legislative scrutiny into this financial debacle,” the letter continues.

“Given that it is our charge as legislators to make sure our laws adequately protect the citizens of our state, we would ask that as the investigation concludes, you plan to advise us as to whether you believe that New Hampshire laws need to be strengthened to ensure greater consumer protection and to prevent similar wrongdoing in the future,” the letter concludes.

The Lakes region-based Financial Resources Mortgage Co. and its principal Scott Farah are accused of operating a Ponzi scheme that defrauded hundreds of investors.

Senator Kathleen Sgambati (D-Tilton) was among the lawmakers pushing for a full and complete investigation into the matter.

“Many of my constituents have lost money they were investing for their retirement. They deserve to know what went wrong and to be assured that state law does everything it can to protect them in the future. We are monitoring this situation closely but we do not want to compromise the integrity of the Attorney General’s investigation,” she said.

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