Prosecutors : Brokers Getting Secret Payments Through Fidelity National Financial Real Estate Software Scam
Brokers Getting Secret Payments Through Real Estate Software
Note: Fidelity National Financial is parent company of Lender Processing Services…
California prosecutors have stumbled across a neat little real estate scam.
Title insurance companies are using software used by real estate brokers to facilitates unlawful secret payments to the brokers for the referral of business to title insurers and other providers.
Last week, Jacksonville, Florida-based title insurance company Fidelity National Financial settled a case brought by the district attorneys of San Diego, Ventura and Los Angeles counties.
Fidelity National Financial will pay $873,588 to settle the charges.
In the civil complaint filed under California’s Unfair Competition Law, the district attorneys alleged that Fidelity National operated a software platform — called Transaction Point — for real estate brokers and other settlement service providers in California.
The state alleged that the system facilitated unlawful secret payments to the brokers for the referral of business to title insurers and other service providers.