Kathy Hilton Admits Relationship With Sister Kyle Richards Was 'Funky' After Mauricio Umansky 'Poached' Employees to Start His Own Real Estate Firm

Kathy Hilton spilled the family's business drama on the third installment of The Real Housewives of Beverly Hills Season 13 reunion.

During the bombshell episode, Kyle Richards' older sister revealed how their relationship took a hit after the reality TV star’s now-ex Mauricio Umansky left her husband’s real estate company to create his own called The Agency.

“Well, Kathy, it's no secret that Mauricio starting The Agency created tension between the families,” host Andy Cohen told Hilton.

Flashbacks from 2011 were then shown of the longtime RHOBH personalities, which featured Umansky revealing he was approached to start his own business.

“Mau even wrote in his book regarding Rick's company that, ‘If they paid me what I deserved and showed me an inkling of professional love,’ he would have stayed, ‘but they didn't see it that way.’ Those are all quotes,” Cohen continued.

Hilton then jumped in, stating, “When he left, he did call on a Thursday. And Rick said, 'OK, when are you planning on leaving?' And he said on Friday. And [Rick] said, 'You're family. Just know opening your own business is tough. The door is always open for you. Just don't poach on my staff or my agents.'”

“And did he?,” Andy queried, to which Kathy confessed, “A few. And that put Kyle and I in kind of a funky...” she trailed off, noting how her younger sister knew what was going on, but she did not want “to get into that stuff.”

“I really don't,” Kyle chimed in, before defending her husband, whom she split from in July 2023.

“But we also had people that were under him in the Umansky Group at Hilton & Hyland. So he had built his group within Hilton & Hyland. I don't want to talk about business stuff like that,” she shared.

As OK! previously reported, Kyle also shared details of how her 27-year marriage fell apart, which was a major storyline in the bombshell season.

“So, Kyle, when did things really start to change? Is there an event that stands out as the beginning of what you called your hard year?,” Andy asked.

“Like with any marriage, there's issues that you have, and they come up. And you get busy. And you've got kids. My kids were little. I'm working. I'm being a mommy and doing all that. And it gets put aside. And then will come up again. And some of the issues never went away. Or they were never really worked on. And then something, like I said in my interview, happened where I did lose my trust, and...” Kyle confessed.

“Something that he did?” Andy pushed.

“I care about my family first. And, I mean, I tried. I really did try. And so then when I couldn't, the kind of the things that I had been, I don't want to say putting up with, but, you know, just became more apparent to me, I guess,” Kyle explained.

“And I just couldn't, I guess I couldn't do that anymore. And I finally just had a breaking point. But I really thought it would come back. I thought, ok, well, this is just a temporary thing,” she continued.

Never miss a story — sign up for the OK! newsletter to stay up-to-date on the best of what OK! has to offer. It’s gossip too good to wait for!