HAVERHILL, Mass. - In requiring Northeast Community Credit Union to conduct the vote on its merger into nearby Haverhill Bank a second time, the NCUA Board will leave the final decision to the agency’s Region One office.
Members of the $98-million credit union voted unanimously during a special meeting last September to combine with the $160 million bank, but only an estimated 75 of the credit union’s 10,000 members took part.
Credit union officials have agreed to conduct the vote over under NCUA’s rule for converting to a mutual savings bank, which requires the use of mailed disclosures and mail-in ballots 30 and 90 days before a special meeting, according to Michael Hanson, an attorney representing the credit union.
Hanson, who is also working with Community CU of Lynn (Mass.) to convert to mutual savings bank, said he agreed with NCUA to apply the agency’s conversion rules to the transaction, which is not specifically outlined in NCUA rules and regulations. “NCUA has been very cooperative,” he said.
