Title Company Reports Delays in Taylor Bean Fundings

Chicago Title and some of its affiliates are reporting delays in what it calls "the funding of mortgage loans" by Taylor, Bean & Whitaker, Ocala, Fla. At press time TBW CEO Lee Farkas had not returned a telephone call about the matter. A memo written by title attorney S.K. Sumner of New Jersey offers no reason for the delay but notes that, "Until Taylor Bean resolves these delays, we recommend that additional interest be added to payoff calculations in order to avoid a possible shortfall in payoff amounts." TBW is the lead investor in a $300 million recapitalization plan for Colonial BancGroup, Montgomery, Ala. The recap is dependent on Colonial receiving $550 million in Troubled Asset Relief Funds from the government. Earlier this week Colonial — a warehouse lender to TBW — cut 136 jobs across five states including Alabama, Georgia, Texas, Florida and Nevada, The cuts make up about 3% of the bank's work force.