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It Appears The NCUA Does Indeed Have Control Of Individual Memberships

Friday, May 14, 2010 - 5:33 PM
It appears the NCUA does indeed have control of individual memberships.

 

2010 Case

 

http://www.ncua.gov/Resources/AdministrativeOrders/2009/09-1125-LUA-AirForce.pdf

 

“6. divest itself of all loans and shares attributable to unqualified members, if so directed by NCUA after reviewing the audir results”

 

 

1973 Case

http://bulk.resource.org/courts.gov/c/F2/477/477.F2d.777.72-1351.html

 

 



 
2
AnonymousAnonymous2,282 posts since
May 9, 2010
Rep Points: 3,917
1. Friday, May 14, 2010 - 10:07 PM
#426: The first case is well-known (NCUA reached signed agreement with AFCU).

http://www.depositaccounts.com/notices/2010/04/air-force-federal-credit-union-cited-for-improper-membership.html

Of course, NCUA has supervisory authority and monitoring oligation to ensure sound practice and stable financial status of all CU under its wing.

But this is just one case out of the past 40 years.  And the result is unknown; I seriously doubt the drastic action (stated in (f) in agreement) would take place. 

Anyhow, I agree that it is a good warning so that we all should obtain CU membership via proper/justifiable channels.
1
51hh51hh1,476 posts since
Jan 16, 2010
Rep Points: 6,426
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