OSHKOSH, Wis.—Amid ongoing fraud investigations of Oshkosh Central Credit Union, the $28 million shop will merge with Community First CU Sept. 1.
The move is being made as
Oshkosh Central's 3,600 members were notified earlier this month of the move by letter from the CU, according to The Northwestern.
The $2 billion Appleton, Wis.-based Community First has been managing OCCU's operations after a routine examination by the Wisconsin Department of Financial Institutions revealed the missing cash. OCCU has fired CEO Mark Patchak and bookkeeper Melisa Beyer.
The Federal Bureau of Investigation has launched an investigation to determine what happened, while OCCU is looking into the matter as well.
On Aug. 4, Community First sent a letter to OCCU members highlighting the conversion of accounts, debit cards, loans and credit cards from OCCU to Community First.
Community First is attempting to separate the ongoing investigations from the transition process for the new Community First members, according to CEO Catherine Tierney.
"Members just want to ascertain how things will work, what will happen with debit cards, credit cards, loans and accounts," Tierney told The Northwestern. "We worked to make this as seamless and painless as we can for members. No one has lost a dime and certainly we hope through the FBI's investigation they will come to a conclusion as to how it happened and will hold those people responsible for it."
The letter to members also indicates OCCU's location on West 20th Avenue will close as of 12:30 p.m. Saturday, Aug. 30.
OCCU has also sued Beyer in Winnebago County Circuit Court to keep her from selling a boat, a camper and vehicles the credit union claims were likely purchased with member funds.
On Aug. 19, Judge Karen Seifert awarded the credit union an injunction to prohibit Beyer from selling a list of items valued at almost $120,000. Seifert also ruled Beyer must sit for a deposition in the case.
OCCU has lost money over the last four years, dropping $41,034 in 2011, $327,375 in 2012, turning a small $8,493 profit in '13, and losing $92,311 through June of this year.
