The Consumer Financial Protection Bureau (CFPB) and the Maryland Attorney General have filed complaints accusing six individuals of taking illegal mortgage kickback scheme with banks such as Wells Fargo and JPMorgan Chase. They are charged of receiving cash and marketing services in exchange for giving mortgage loan referrals to the banks.
The CFPB named the individuals as follows: Jay Zukerberg and Brandon Glickstein, the owner and marketing director respectively of defunct Genuine Title; Gary Klopp, Adam Mandelberg, and Angela Pobletts (all loan officers); and William Peterson, the president of a mortgage brokerage. Genuine Title is accused of paying the loan officers by running the kickbacks through limited liability companies.
“Paying kickbacks for mortgage referrals is illegal, and it has been illegal for decades,” said CFPB Director Richard Cordray in a press release. “Secret and unlawful payments keep consumers in the dark and put honest businesses at a disadvantage, and the consumer bureau will continue to take action against them.”