Challenge
Worldpay, an Atlanta-based payment processor, was sued in 2015 in the U.S. District Court for the Northern District of Illinois, Eastern Division, by Global Cash Network, Inc. Global Cash is an “ISO,” or independent sales organization, that recruits merchants for Worldpay and receives a “residual,” or referral fee, based on merchant processing volume. In its complaint, Global Cash claimed that for more than 10 years Worldpay and its predecessor companies shortchanged Global Cash on its compensation for referring customers, resulting in $5 million in allegedly unpaid residuals. Global Cash also alleged that Worldpay failed to protect against the wrongful diversion of funds, which allowed a Global Cash employee to redirect nearly $700,000 in residuals to her personal account.
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