ALEXANDRIA, Va. – NCUA this afternoon banned a former teller at West Virginia’s N&W Poca Division FCU from the credit union industry for her role in a family fraud that drained as much as $5 million from the tiny credit union.
Pamela Mullins, 47, was sentenced earlier this year to 30 months in prison. Her cousin, 36-year-old Rebecca Poe, who is the daughter of the credit union’s CEO, was also jailed for the fraud the two women allegedly used to steal $2.4 million from the tiny credit union, which was forced insolvent by the scheme. Both women were ordered to pay $2.4 million in restitution to NCUA, which liquidated the one-time $7 million credit union in late 2008 after the fraud was discovered.
The credit union, located in Bluefield, W.Va., was chartered in 1970 to serve employees of the Norfolk and Western Railway, and later added employees of American Electric Power Co. (formerly Appalachian Power Co.).
The credit union’s CEO Deborah Bailey, who is Poe’s mother and Mullins’ aunt, has not been named in the criminal case but was charged in a civil suit brought by NCUA with engineering the scheme. NCUA claims Bailey, her husband and their daughters stole the money by making fake deposits into their accounts and manipulating phony loans.
