Credit unions

METAIRIE, La. – Louisiana Corporate CU announced this morning it will receive a $600,000 settlement from Credit Suisse--the last remaining defendant in a ten-year-old National Century Financial Enterprises asset-backed securities fraud case.

WICHITA, Kan. – One of two federal judges scheduled to hear NCUA’s numerous suits against Wall Street banks over the corporate credit union failures has disqualified himself because of a potential conflict of interest in the cases.

WARRENVILLE, Ill. -- Members of $1.4 billion CenCorp CU voted overwhelmingly today in favor of the proposed merger with $1.4 billion Alloya Corporate FCU, the eighth corporate merger in the last two years but first since last October.

ALEXANDRIA, Va. – NCUA this morning announced a $165 million settlement with Bank of America over claims that mortgage giant Countrywide, which BofA acquired in 2008, sold faulty mortgage-backed securities to failed corporate credit union giants U.S. Central FCU and WesCorp FCU.

ALEXANDRIA, Va. – NCUA yesterday reduced its projections for future corporate credit union assessments and estimated this year’s assessments will be between eight and 11 basis points, or $800 million to $1.1 billion.

ALEXANDRIA, Va. – NCUA said this afternoon it increased its subsidized lending from the U.S. Treasury to help fund the corporate credit union bailout last year to $5.1 billion, from $3.5 billion in 2011.

METAIRIE, La. – Louisiana Corporate CU has selected FI Compliance Solutions to supply the $1.2-billion corporate credit union with enterprise risk management services.

A federal appeals court has scheduled oral arguments for May 8 in a key case that will help determine the success of billions of dollars in claims by NCUA against Wall Street banks for the sale of mortgage-backed securities to the failed corporate CUs.

WICHITA, Kan. – Lawyers for Nomura Home Equity Loan, one of more than a dozen subprime lenders being sued by NCUA for the failure of some corporate credit unions, on Friday told a federal appeals court the agency’s in-house examiners at two of the failed corporates belie NCUA’s argument that it had to wait until after taking over before pursuing legal claims.

LOS ANGELES – In a ruling that could severely hamper NCUA’s recovery efforts in the corporate credit union bailout, a federal court yesterday tentatively dismissed some of NCUA’s $491 million of claims against Goldman Sachs & Co. on the grounds that they were filed too late.

ALEXANDRIA, Va. – The NCUA Board voted in closed meeting this morning to approve the combination of Alloya Corporate FCU with Michigan’s CenCorp CU, with the latest corporate merger creating one of the nation's largest corporates with more than $3 billion in assets.

MIDDLETOWN, Penn. – Mid-Atlantic Corporate FCU has rolled out a group of video channels designed to inform, educate and entertain its member credit unions.

AUSTIN, Texas – The Texas CU Department announced today that Dan Buckley, a senior executive at Alabama’s Corporate America CU and before that a long-time NCUA corporate examiner, has been hired as Deputy Commissioner.

NEW YORK – NCUA has asked a federal bankruptcy court in the huge Residential Capital Chapter 11 bankruptcy to expedite more than $300 million of claims related to the 2009 collapse of WesCorp FCU, one of dozens of investors in mortgage-backed securities issued by the one-time subprime mortgage subsidiary of GMAC.

WASHINGTON – NCUA told a congressional committee that a government-wide ban on contingency legal arrangements does not apply to suits it has brought against Wall Street banks over the failure of the corporate credit unions because as liquidating agents for the corporates it is not acting as a “government agency.”

Last year's merger of Southeast Corporate FCU into Corporate One FCU, creating one of four major surviving national corporate credit unions, was accomplished with up to $15 million of financial assistance from NCUA to help make up for potential shortfalls due to troubled Southeast investments.