Charlotte-Area Real Estate Agency Admits To Hiding Bonuses Received In Home Sales; Agrees To Shut Down

In North Carolina, The Charlotte Observer reports:

• Charlotte-area company Realty Place has agreed to permanently close its doors after admitting to violating state regulations and federal law by hiding real estate bonuses from customers and lenders. In the agreement, approved Wednesday by the N.C. Real Estate Commission, the company said that from 2002 to 2004, Realty Place accepted "numerous" bonuses from homebuilders for representing buyers who purchased homes. The bonuses were paid outside closing and not declared on settlement statements.

• The commission so far has uncovered 300 to 400 secret bonuses paid to Realty Place, said Janet Thoren, the commission's chief deputy legal counsel. The investigation has expanded to involve other Charlotte real estate companies. "It involves quite a few people," said Thoren, who declined to say if federal officials also are investigating Realty Place. "I think the list is probably going to get longer and longer."

For more, see Realty Place calls it quits (Agency admits it took `numerous' secret bonuses from home builders, agrees to close).