In April 2015, the CFPB, along with the Maryland Attorney General, sued Genuine Title, a mortgage title company, and individuals tied to the company for an “alleged mortgage kickback scheme with banks such as Wells Fargo and JPMorgan Chase.” The CFPB accused them “of trading cash and marketing services in exchange for mortgage referrals.” Specifically, the CFPB claimed Genuine Title “funneled cash payments to the loan officers through limited liability companies that the four named loan officers created so that it wouldn’t look ‘fishy’ had Genuine Title paid them directly.” The CFPB requested “the court to ban five of the six named persons from the mortgage industry and pay a total of $662,500 in redress and penalties.”

• The CFPB, with the Maryland Attorney General filed a lawsuit against Genuine Title, LLC, Brandon Glickstein, Gary Klopp, and Adam Mandelberg in US District Court for the District of Maryland Baltimore Division. [CFPB v. Genuine Title, LLC, Brandon Glickstein, Gary Klopp, and Adam Mandelberg, case no. 1:15-cv-01235-JFM, filed 04/29/15]

• The CFPB, with the Maryland Attorney General sued Genuine Title, a mortgage title company, and individuals tied to the company for an “alleged mortgage kickback scheme with banks such as Wells Fargo and JPMorgan Chase.” The CFPB accused them “of trading cash and marketing services in exchange for mortgage referrals.” Specifically, the CFPB claimed Genuine Title “funneled cash payments to the loan officers through limited liability companies that the four named loan officers created so that it wouldn’t look ‘fishy’ had Genuine Title paid them directly.”

The owner and marketing director of Genuine Title allegedly arranged “for cash payments in amounts ranging from $130,000 to $500,000 to the loan officers from 2009 to 2013.” CFPB accused them “of offering marketing services, including mailings to consumers with the loan officers’ contact information, in exchange for a referral.”

The CFPB requested “the court to ban five of the six named persons from the mortgage industry and pay a total of $662,500 in redress and penalties.”

The CFPB requested a “federal court judge to ban Zukerberg and Glickstein from the mortgage industry for five years and pay $130,000 and $400,000 in fines, respectively. Mandelberg, Peterson and Pobletts could be banned from the mortgage industry for two years and face $132,500 in fines altogether. The action against Klopp is still pending since no settlement has yet been reached.” [Rachel Witkowski, “CFPB Sues Individuals in Large Mortgage Kickback Scheme,” National Mortgage News, 04/29/15]