Manager Pleads Innocent In Massive KitingScheme

August 10, 2005, 1:00 a.m. EDT 1 Min Read

EASTON, Pa. - (08/10/05) -- A former branch manager at Nor-CarFCU was released on her own recognizance Monday after pleadinginnocent to a decade-long $1.5 million kiting scheme that helpedbankrupt the $40 million credit union two years ago. Betty JeanBarachie, who managed the credit union's Lehighton branch, hasadmitted stealing the money, but authorities said it is customaryfor defendants to enter not guilty please during preliminaryhearings. Barachie allegedly embezzled $870,000 through asophisticated check-kiting scheme between 1992 and 2000, then triedto cover her tracks by transferring another $654,000 to her ownaccount from Nor-Car's account with Mid-Atlantic Corporate FCU.NCUA took over 68-year-old credit union in November 2003 and closedit down in October 2004, selling its assets to First CommonwealthFCU.

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