Homebuilders Quell HUD Kickback Investigation

Law360, New York (October 30, 2007, 12:00 AM EDT) -- Six homebuilders, including Pulte Homes Inc., KB Home and Beazer Homes USA Inc., will pay almost $1.4 million to resolve a U.S. Department of Housing and Urban Development probe into allegations that title insurance companies paid kickbacks to the builders in exchange for referrals.

Pursuant to the deals, announced Monday, Pulte will pay $466,000; KB Home will pay $456,000; and Beazer Homes will pay $261,000. Meritage Homes Corp., the Ryland Group Inc. and Technical Olympic USA Inc. will each pay five-figure fines. None of the companies...
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