Industry News

Kickbacks claimed in lawsuit against Wells Fargo

Contests allegedly compensated for referrals
Published on Oct 19, 2005

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by CareyBot

A putative class action lawsuit has been filed in Miami accusing Wells Fargo Bank of giving kickbacks to business associates for referrals, media reports said.

The suit contends that San Francisco-based Wells Fargo set up contests called "Pick of the Pros" and "Play of the Week" to pay back business associates for referrals, the South Florida Daily Business Review reported.

The suit claims that this arrangement violates the Real Estate Settlement Procedures Act, reports said.