Every year the NCUA bans former credit union employees from future employment in a federally insured financial services industry. Usually these are the result of criminal embezzlement, but this years has started off a little different. The NCUA’s first banishment of 2022 goes to a now former vice president of lending for failing to report business loans and incurring two-hundred thousand dollars in losses.
Loudoun Credit Union in Leesburg, Virginia, is a mere $57 million in assets. And while they did not show any charge off losses between 2015 and 2017, it posted a net income loss of $65,284 at the end of 2018. Needless to say, two-hundred thousand dollars losses is substantial for their size. This obviously caught the attention of the examiners.
In examination, it was discovered that, now former vice president of lending, Catalina Noyes, both personally, underwrote and approved several member business loans from November 2015 to August 2017. However, the NCUA did not report how many business loans she approved in violation of the credit union’s policies and federal regulations.
In 2017, CUNA Mutual Group revoked her fidelity bond.
Neither admitting or denying any wrong doing, Noyes, agreed to and signed the NCUA’s prohibition order in December. The NCUA said, that by engaging in unsafe and unsound practices, Noyes breached her fiduciary duties to Loudoun and its 5,272 members.
CU VP breaks lending policy, banned for life – Credit Union Collections – Credit Union Collectors
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