Credit unions

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.

Catalyst Corporate FCU announced it will roll out an agent loan participation program in the next few weeks that will connect credit unions that want to sell loans with those that want to purchase an interest in a loan pool.

MUSKEGO, Wis. – Corporate Central CU has signed a correspondent services contract with Lending Tools, which will include the conversion of the corporate’s ACH system from to LT’s Private Correspondent Gateway.

WASHINGTON – The former CEO of Constitution Corporate FCU asked a federal appeals court yesterday to overturn the NCUA Board’s ruling denying him some $250,000 in back pay and benefits after the federal regulator took over his failed corporate in September 2010, along with two others.

LOS ANGELES – The Justice Department’s suit against Standard & Poor’s targets several failed credit union deals among the more than two dozen collateralized mortgage obligations, or CDOs, the Wall Street agency allegedly rated falsely, causing two of the biggest credit union failures ever, WesCorp FCU and Eastern Financial Florida CU, the only two credit unions authorized to buy CDOs.

LOS ANGELES -- The U.S. Department of Justice filed suit last night against Standard & Poor's, alleging the firm ignored its own standards to give high ratings to mortgage bonds sold to WesCorp FCU and other investors that created billions of dollars of losses.

WICHITA, Kan. – Wall Street’s leading lobby group told a federal appeals court Friday that numerous claims brought by NCUA against underwriters of failed securities sold to corporate credit unions – some of them filed as many as seven years after the sale – could have broad ramifications for the securities industry as a whole and should be rejected.

COLUMBUS, Ohio – 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.

GREENSBORO, N.C. – First Carolina Corporate CU has signed with LendingTools.com to deploy the company’s Correspondent Gateway, providing member credit unions with ACH origination, management and processing services.

WICHITA, Kan. – The Securities Industry and Financial Markets Association told the federal appeals court yesterday it will be filing a brief on behalf of several Wall Street banks that say NCUA waited too long to file billions of dollars in civil claims over mortgage-backed securities the banks sold to five failed corporate credit unions, as the stakes in the huge legal battle grow more apparent.