Hardly extortion. Someone has to pay the fine before Immigration will issue anything. Dont pay the fine and take it up with your landlord. Good luck with that!
It's NOT fake news, it's a requirement under Thai Immigration law. It's just rarely enforced. It will generally only be used as an excuse to refuse an undesirable entry into the Country. It's best to have it with you in case you happen to come across a 'moody' Immigration Officer!