Newport Beach, CA – Pelican Point Capital Partners, LLC., is pleased to announce that it has taken a 90% plus controlling ownership stake in FundingShield LLC, a financial technology firm providing transaction level risk mitigation for the residential mortgage market.  FundingShield’s unique service verifies the 3rd parties (closing agents, closing attorneys, title companies and their associated bank information) to each transaction for its clients and verifies the documents that support the Closing Protection Letters (CPLs) so that its clients are afforded proper protections in the event of a defalcation.  Further the company has uncovered several hundred million in potential diverted wires, wires going to incorrect accounts or funding that would result in lack of title insurance coverage to lenders.

 

FundingShield’s President Adam Chaudhary said, “On the back of the MBA Conference in San Diego we have had a surge in activity from mid-market sized lenders, warehouse lenders, hedge fund backed originators and an increase in flow from our existing top 10 bank clients, top 10 retail clients and several hedge fund backed non-QM lenders and investors.  This past year has been a year of growth for the firm and the owners would like to praise our dedicated staff who have gotten constant praise from our clients for actively protecting them daily.”

 

FundingShield’s products complement and in many cases greatly strengthen the internal control and compliance efforts of Mortgage lenders, banks, credit unions and other participants to a mortgage closing.  FundingShield is gaining interest from many compliance & operations department heads utilizing the tool to help monitor and control closings across lending platforms to improve visibility & control of the closing process.  FundingShield has monitored in excess of $30 billion in closings to date with approximately 10% of loans have some data elements that would not afford the lender protection with the documentation as prepared prior to our check.  Almost 1% of loans closings are stopped altogether or a new title agent or attorney depending on jurisdiction is needed.
“The increased regulatory, compliance and narrowing margin for error in the mortgage industry has generated a hypersensitive need to ensure operational efficiencies and controls.  The year ahead has much in store including our active exploration of compliance and operational technology platforms to imbed our offering into and further client growth via our relationships and introductions and referrals from our existing clients,” said Shad Quraishi, Co-CEO and Co-Founder of Pelican Point Capital Partners.

 

“As part of this increased ownership by Pelican the Board of FundingShield has been revamped with Shad and I taking control to leverage our combined experience in technology, mortgage finance, strategy. We are excited for what the new team will achieve and look forward to lending our continued support,” said Ike Suri, Co-CEO and Co-Founder of Pelican Point Capital Partners.

 

Further information on FundingShield can be found at www.FundingShield.com, calling 949 706 7888 or emailing Adam@FundingShield.com to request marketing materials or a Webex demonstration.  Pelican Point Capital, its partners and advisory committee including bios for each, can be found at the Pelican Point Capital Partners website here.