Credit unions

ALEXANDRIA, Va. – NCUA filed suit today in Federal District Court in Kansas against Morgan Stanley & Co., Inc. and other firms, alleging violations of federal and state securities laws in the sale of more than $566 million in mortgage-backed securities to U.S. Central and WesCorp.

ALEXANDRIA, Va. – The U.S. 10th Circuit Court of Appeals handed NCUA a victory in its lawsuits against Wall Street firms regarding sales of mortgage-backed securities to corporate credit unions.

ALEXANDRIA, Va. – The U.S. 10th Circuit Court of Appeals handed NCUA a victory in its lawsuits against Wall Street firms regarding sales of mortgage-backed securities to corporate credit unions.

WARRENVILLE, Ill. – Alloya Corporate FCU CEO Bill Walby will be resigning as Alloya’s CEO for personal reasons.

ALEXANDRIA, Va. – The director of NCUA’s Office of Examination and Insurance has issued a response to some of the ongoing analyses by third parties regarding the agency’s handling of the failed corporates and the so-called legacy assets and their cost to credit unions.

NCUA's Larry Fazio discusses the Corporate Stabilization Fund, NCUA Guaranteed Notes and the future of corporate CU assessments.

NEW YORK – NCUA has opposing a proposed bankruptcy reorganization for Ally Financial, General Motors’ one-time subprime lender known as Residential Capital, saying the plan does not offer enough compensation for the $600 million of claims the agency has for ResCap’s sale of more than $600 million of mortgage-backed securities to U.S. Central FCU and WesCorp FCU.

WICHITA, Kan. – NCUA asked a federal appeals court for an expedited review of last month’s lower court ruling dismissing $550 million in claims against Barclays Capital, saying unless the ruling is overturned it could lead to the dismissal of more than $5.2 billion of claims against Wall Street banks for the failure of five corporate credit unions.

PLANO, Texas – Catalyst Corporate FCU has asked NCUA, which is poised to lift its ban on financial derivatives, to let it deal interest rate swaps, caps, and options to credit unions through its investment subsidiary.

WICHITA, Kan. – A federal appeals court on Friday directed NCUA and Barclays Capital to negotiate a possible settlement of claims in the corporate credit union crisis, as a preliminary step to formal review of a lower court ruling dismissing NCUA’s $555 million suit against the Wall Street bank.

WASHINGTON – CUNA has asked NCUA to consider suspending its annual corporate bailout assessments next year as losses on the remnants of the five corporate failures continue to decline.

NCUA last week set the 2013 corporate CU assessment at eight basis points, or $700.9 million, a sign that the multi-year resolution program may be winding down.

Based on one securities firm's close analysis of the "legacy assets" of the five failed corporates, assessments for the Corporate CU Stabilization Fund should be ending soon.

New analysis by Co-Ops for Change has found that U.S. Central FCU's losses are likely to be far less than projected, and that the NCUA guaranteed notes balance is currently over-reserved by $10 billion.

WASHINGTON – New analysis by Co-Ops for Change of the five failed corporates’ spreadsheets asserts that the NCUA Guaranteed Notes balance currently is over-reserved by $10 billion.

ALEXANDRIA, Va. – NCUA this morning set this year’s corporate bailout assessment at 8 basis points, or $700.9 million, a sign that the multi-year resolution program may be winding down.

SAN FRANCISCO – NCUA on Tuesday filed an appeal of the July 13 ruling by a federal court in Los Angeles dismissing most of its $491 million in claims against Goldman Sachs for failed mortgage-backed securities the Wall Street bank sold to U.S. Central FCU and WesCorp FCU – one of a growing number of rulings unfavorable to NCUA related to corporate credit unions.

WICHITA, Kan. – The U.S. Court of Appeals for the Tenth Circuit has agreed to review a lower court’s July 9 ruling dismissing the credit union regulator’s claims against Barclays Capital for the sale of $555 million of faulty mortgage-backed securities the bank sold to U.S. Central FCU and WesCorp FCU.

ALEXANDRIA, Va. – The NCUA Board is expected at next week’s meeting to charge credit unions around $825 million for its fourth annual corporate assessment, bringing the total cost of the corporate credit unions failures to almost $11 billion.

WASHINGTON – A new analysis by Co-Ops for Change asserts that U.S. Central FCU’s losses are likely to be far less than projected.