HUD says Znet Financial has agreed to pay the Treasury Department $15,000 and the agents have agreed to refund $400 to each customer referred to Znet for a total $9,200. The individual agents were not named in the statement which was released to the media.
HUD says the defendants allegedly violated the Real Estate Settlement Procedures Act (RESPA) which HUD Secretary Mel Martinez vowed last year to reform. The statement says the defendants agreed to settle "after HUD determined all violated the anti-kickback and unearned fee provisions of RESPA."
The statement says HUD's investigation found that Znet represented the ReMax of Atlanta agents as "employees," paying them $400 each for each consumer referred to Znet.
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
