ALEXANDRIA, Va. – NCUA yesterday banned the CEO of a Virgin Islands CU that was shut down last December by Colorado regulators for selling questionable above-market-rate CDs in the state.
The nexus of the state’s jurisdiction is an office the credit union operates in Denver and the residence of the president of the credit union, Stanley Roberson, in the Denver suburb of Aurora, who was banned by NCUA yesterday from the credit union industry.
Roberson was jailed by a state judge after he refused to provide information on the CDs. Regulators were not sure if the CDs were in fact CDs or unregistered securities subject to state and Securities and Exchange Commission rules, as they are not insured products.
Roberson was sentenced to six months in jail for contempt and an additional six months for failure to produce documents pursuant to a subpoena.
