Title company operator convicted of embezzling from escrow accounts

A Utah man who owned a title company that operated in Nevada has pleaded guilty in federal court to embezzling roughly $4 million from escrow accounts, Nevada U.S. Attorney Daniel G. Bogden said Friday.

Christopher L. Durling, 49, pleaded guilty on Wednesday to one count of wire fraud, and is to be sentenced on Aug. 11.

Durling ran Direct Title Insurance Agency, which had offices in Nevada, Utah, California and elsewhere, according to Bogden

From March 2009 through June 2011, Durling defrauded various people and entities of money and property by diverting funds from escrow accounts for his own personal use, Bogden said. Durling used a kiting scheme to artificially inflate the balances of office trust accounts to cover up shortages caused by diversion of the escrow funds, Bogden said.

In late 2010, the volume of the diversions could no longer conceal the fraud, and insurance companies had to reimburse 13 lenders about $4 million, according to Bogden.

Contact Jeff German at jgerman@reviewjournal.com or 702-380-8135. Find him on Twitter: @JGermanRJ.