WASHINGTON - (05/11/06) Disenfranchised members of DFCUFinancial were crying foul Thursday and looking for help fromCongress after the board of the credit union giant decided toignore a petition from almost 1,800 members seeking a specialmeeting to recall the board because of the failed attempt to turnthe $1.8 billion credit union into a bank. Members of DFCU OwnersUnited, the group that spearheaded the rare recall drive, werelamenting the expensive campaign launched by the credit union onbehalf of the targeted directors who voted for the ill-fatedcharter conversion. I want Congress to know that we, thecredit union members, need protection from those boards andmanagements that are not looking after the best interests of themember-owners, Margaret Blohm, one of the leaders of thedissident members group, told The Credit Union Journal.Ive been on the phone to Washington trying to see ifthere is somebody that can help us. Her remarks came afterthe credit union announced it will not honor the memberspetition. The decision surprised the dissident group, which hadbeen watching the credit union spend tens of thousands of dollarsin the last two weeks to prop up the at-risk directors withnewspaper ads, billboards, fliers, a dedicated web site, a soundvan and a catered picnic. Another member of the group said sheexpects the members to challenge the credit unions action incourt, but that decision will wait until members have met todiscuss the latest twist in the controversy. The rejection of themember petition comes as Congress is commencing hearings on theissue of credit union conversions.
-
The Jackson, Mississippi, company will use proceeds from the sale of its Fisher Brown Bottrell Insurance unit to restructure its investment portfolio, moving $1.6 billion of low-yield securities off the balance sheet.
April 24 -
The store-branded card issuer is raising annual percentage rates and adding fees for paper statements to compensate for lost revenue. The Consumer Financial Protection Bureau's new regulation is scheduled to take effect on May 14.
April 24 -
At the banks' annual meetings, shareholders at both companies struck down proposals that would have split the board chair and CEO roles. Two other proposals also failed to win shareholder support, one concerning energy financing and another on pay gap analysis.
April 24 -
Congressional Review Act resolutions are ramping up ahead of the 2024 election cycle. Experts say that, although none are likely to become law, the resolutions are still powerful messaging and political tools.
April 24 -
The ABA is testing an information-exchange network to allow banks to share their fraud data with each other. Companies including Baselayer are also building solutions.
April 24 -
Republicans on the House and Senate Small Business committees are accusing the SBA of being irresponsible in granting Funding Circle permission to participate in its flagship loan-guarantee program.
April 24