By DAVE WILLIAMS, Capitol Beat News Service
ATLANTA — Georgia Secretary of State Brad Raffensperger on Monday called on the General Assembly to pass legislation aimed at preventing the financial exploitation of senior citizens in Georgia.
Senate Bill 84, sponsored by Senate Finance Committee Chairman Chuck Hufstetler, R-Rome, would authorize financial advisors to delay transactions with their elderly or disabled clients if they suspect fraud.
Financial exploitation of seniors has increased since the pandemic hit nearly three years ago, Raffensperger said Monday during a news conference at the state Capitol.
“The COVID pandemic has helped [drive] That rapid increase when you saw so many people isolated from their support systems and under tremendous financial strain and anxiety,” he said.
Raffensperger said the rate of financial exploitation of seniors has doubled across the country since the pandemic began, with COVID-related fraud responsible for more than $100 million in losses.
He cited a federal study that found US financial institutions lost more than $3.4 billion to fraudulent criminal activity in 2020 alone.
The Securities Division in the Office of the Secretary of State handles complaints of financial exploitation. But these complaints often come too late, said Raffensperger.
“The money is usually gone before we’re notified,” he said. “Recovery is difficult.”
Senate Bill 84 seeks to prevent financial exploitation by allowing financial advisors who discover something unusual in a pending transaction to desist.
“This law gives financial institutions the ability to act pre-emptively rather than waiting until the money may be gone,” Hufstetler said. “There are a lot of horror stories out there and we want to take care of that.”
Co-sponsors of the bill include Republican Sen. Mike Dugan of Carrollton, Kay Kirkpatrick of Marietta, Ben Watson of Savannah and Rick Williams of Milledgeville, and Democratic Sen. Jason Esteves of Atlanta.