Title Insurance Underwriter To Cover Some - But Not All - Customer Losses In Florida Treasure Coast Escrow Scandal

In Vero Beach, Florida, TC Palm reports:

• Insurance underwriters for a title company owned by Vero Beach attorney Ira C. Hatch Jr. will compensate customers that lost money with the now-defunct company, a spokeswoman for the Florida Department of Financial Services said Thursday. Lawyers Title Insurance Corp. and Attorneys' Title Insurance Fund said they would pay claims by businesses that used Coastal Title Services [a title insurance agency], said spokeswoman Nina Banister. The agreement does not apply to customers of Coastal Escrow Services [an escrow company], Banister said.

[...]

• Banister said escrow companies are usually part of a title agency, real estate agency or a mortgage broker, but that a licensed attorney can separately operate an escrow business. The Florida Department of Financial Services launched an investigation into the title company after Hatch shut down it and Coastal Escrow. "My understanding is it (Coastal Escrow) should have been attached to a title company, and part of the investigation is why did he have them separate?" Banister said.

For more, see Insurance group to reimburse clients of Coastal Title Services.

For recent related stories, see:

• Realty group feels effects of Coastal Escrow collapse (TC Palm - 10-28-07),
• Hatch asks court to dismiss lawsuit against him in Vero Beach (TC Palm - 10-26-07),
• Former Hatch colleague speaks (Kevin Doty strongly denies involvementin Escrow case involving missing $4M) (TC Palm - 10-21-07)
• Hatch escrow case proceeds slowly in Vero Beach (TC Palm - 10-20-07),
• Ira Hatch going to court this morning (TC Palm - 10-19-07),
• Hatch's wife wants $215,000 returned from police (TC Palm - 10-9-07),
• Coastal Escrow suits mount (TC Palm - 10-6-07),
• Hatch seeks to have lawsuit frozen until investigation completed (TC Palm - 10-1-07),
• Marjorie Hatch's accounts unfrozen after Vero Beach police seize money (TC Palm - 9-25-07),
• Hatch probe may take months (TC Palm - 9-25-07),
• Records suggest Ira C. Hatch, family lived comfortable life (TC Palm - 9-24-07),
• Hatch's wife seeks bank accounts in Vero Beach (TC Palm - 9-21-07),
• Ira C. Hatch's attorney will meet with state attorney’s office today (TC Palm - 9-20-07),
• Go here for other posts and links to other media reports on this story.

Go here for other stories on misappropriated or unaccounted for escrow funds. sneaky slick escrow agents alpha