Texas Congressional Delegation To WriteNCUA On Conversions

WASHINGTON - (06/28/05) A letter to NCUA from the TexasCongressional delegation on credit union-to-bank conversions isexpected to be out soon, according to CUNA's Gary Kohn. “TheTexas delegation is expected to tell NCUA that they are watchingthe agency very carefully on these conversions in Texas,” hesaid, referring to the pending conversions of Plano, Texas-basedCommunity CU and Ft. Worth, Texas-based OmniAmerican CU. NCUA hasinformed both credit unions that their disclosure statements werenot done properly and that they must start the process over, butlawmakers are putting pressure on the agency to validate the votesbecause the regulator had previously approved the disclosures.“They would like to see the conversion go through without anew vote,” Kohn observed. “The sense I get is that theysee the NCUA actions as just delaying theinevitable.”