NCUA Shutters PennsylvaniaCU

Register now

LOCK HAVEN, Pa. - (08/09/05) -- NCUA said Monday it liquidated LockHaven Area FCU and transferred its 3,300 members' accounts toHorizon FCU in nearby Williamsport, Pa. Lock Haven Area FCU had $11million and was losing money at a rapid pace. It reported a $475,00loss in the first quarter, after a $710,000 loss in 2004 and had anet worth ratio of negative 3.8%, according to Callahan &Associates. Authorities are currently investigating whether therewas wrongdoing in the demise of the credit union. Lock Haven FCUwill reopen as a branch of Horizon FCU within the next few days,and Lock Haven members will have access to the credit union at thattime.

For reprint and licensing requests for this article, click here.
MORE FROM AMERICAN BANKER