Manager Guilty Of Looting CU

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PHILADELPHIA - (10/24/05) -- A former branch manager at Nor-CarFCU pleaded guilty last week to embezzling more than $1.5 millionfrom the now-defunct credit union, helping to sink the well-knowncredit union, which was shuttered by NCUA in September of 2004.Betty Jean Barachie, 38, confessed to authorities that she used themoney to finance a lavish lifestyle that included gambling trips toLas Vegas, a $60,000 swimming pool in her backyard, and expensiveclothes. But prosecutors dropped a bombshell at last week's pleasession by Barachie, telling the court they believe someone elsestole an additional $2 million form the credit union but they stilldon't know who. Investigators said they have been unable to recoverany of the money Barachie stole. Barachie embezzled $870,000through a sophisticated check-kiting scheme between 1992 and 2000,then tried to cover her tracks in December 2000 when shetransferred $870,000 from an account at Mid-Atlantic Corporate FCUto her own account. Between June 2001 and April 203, Barachieallegedly transferred another $653,663 from Nor-Car's corporateaccount to her own account. NCUA took over 68-year-old credit unionin November 2003 and closed it down in October 2004, selling itsassets to First Commonwealth FCU.

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