AppraiserLoft Fined for Failure to Pay Appraisers
AppraiserLoft Fined $855,000 for Failing to Pay Arizona Appraisers
A Phoenix judge fined the defunct appraisal management company AppraiserLoft $855,000 for failing to pay Arizona appraisers at least 171 times within the past 18 months, the San Diego Union-Tribune reported June 12.
The San Diego-based AppraiserLoft has been the subject of numerous non-payment and late-payment claims from appraisers, former employees, advertisers and other parties before shutting its doors in October. The AMC allegedly owes more than $3 million in property valuation invoices.
In the Arizona case, administrative law judge Diane Mihalsky found that the AMC failed to pay Arizona appraisers for completed work within 45 days as required by Arizona state law. The court found that AppraiserLoft either resolved or made attempts to resolve 10 cases, which left 171 cases unresolved, the Union-Tribune reported.
Mihalsky recommended that the Arizona Board of Appraisal fine AppraiserLoft $5,000 for each violation and revoke the company’s license as an appraisal management company. The board of appraisal is scheduled to consider the recommendation at its July 13 meeting.
Company founder Aman Makkar did not appear at the Phoenix hearing, and he did not make any effort to present evidence to dispute or remedy the appraiser claims, the Union-Tribune reported.
In a separate matter, Makkar entered a settlement agreement in 2011 to refund $1.5 million of his earnings from a Ponzi scheme; he has paid $873,746 but is in default for the outstanding balance, the Union-Tribune reported.