…While Another Dies In NorthCarolina

Register now

PITTSBORO, N.C. - (02/16/05) – State regulators shut down oneof the nation’s oldest African-American credit unions Tuesdayafter discovering widespread accounting irregularities in theinstitution. The closure stunned members of Chatham-Lee CU as theylost a long-standing neighborhood lender. The credit union hadserved Pittsboro's African-American neighborhood for nearly 50years when other institutions would not. Credit union accounts werefrozen for two weeks, but the money is protected by federal depositinsurance under NCUSIF. The FBI is investigating thematter.

For reprint and licensing requests for this article, click here.