The Central Pennsylvania real estate community was surprised when a suit
was filed in Cumberland County on June 1, 2012, accusing Chelsea Settlement
Services (also known as Core Settlement Services) of embezzling over one
million dollars from clients. The suit was brought by Chelsea’s
own title insurance underwriter Stewart Title Guaranty Company.
It is possible that the funds allegedly embezzled were funds which were
supposed to pay off mortgages in the course of a sale and purchase of
a property. Not to mention the significant trouble this alone may cause,
there is the aggravation to anyone who may have utilized Chelsea/Core
and the uncertainty this news may bring.
It is the property seller/buyer’s duty to check to see if any mortgage
or lien to be paid by Chelsea/Core at the time of settlement was actually
paid. If not, then contacting Stewart Title Guaranty Company would be
the next step. To get there may require a little investigation which you
should anticipate may require costs to the property owner’s behalf
unless you have the skills to search the public records on your own and
the ability to answer questions from those documents.
Any attorney in the real estate area would be happy to assist you in answering
these questions but please remember this is not a free service. Chelsea/Core
has been blocked from continuing to do business. Please be cautious and
look at your settlement if it was handled through Chelsea Settlement Services/Core
Settlement Services, Inc. They may have done nothing wrong, but YOU need
to protect your interest!