Credit unions

WASHINGTON – Credit union executives and directors are wondering whether new CUNA President Bill Cheney will be restricted in lobbying NCUA because of the lawsuit the agency has brought over Cheney’s tenure on the board of WesCorp FCU.

WASHINGTON-Credit unions are pulling their time deposits from the corporate system at increasing rates in recent months, with the corporates' share of the movement's investable funds falling to a 30-year low of just 7.7% as of the end of July, according to CUNA.

WARRENVILLE, Ill. – Members United Corporate FCU, which built itself into the second-largest corporate credit union through several mergers, continued to shrink its expenses with an additional 27 lay-offs, as its capital hovers just above insolvency.

ALEXANDRIA, Va. – The long-awaited overhaul of NCUA’s corporate regulation, expected next week, is expected to usher in a consolidation of the corporate network.

WASHINGTON – Credit unions are pulling their time deposits from the corporate system at increasing rates in recent months, with the corporates’ share of the movement’s investable funds falling to a 30-year low of just 7.7% as of the end of July, according to CUNA.

ALEXANDRIA, Va. – NCUA Board’s monthly meeting next week will be conspicuous for what is not in it, rather than what is in it–the Board will not vote on a final corporate credit union rule, as had been expected.

WASHINGTON – CUNA’s new president and CEO Bill Cheney said yesterday he was disappointed in being named as defendant in a negligence suit NCUA is pursuing against directors of WesCorp FCU and denied culpability in the failure of the one-time $34 billion corporate, as he did earlier with the failure of U.S. Central FCU, where he also served as director.

LOS ANGELES – NCUA last night amended a suit it inherited from seven credit union members of WesCorp FCU with additional allegations of breaches of fiduciary duties and gross negligence on the part of fifteen former directors and officers of the one-time $34 billion corporate credit union in connection with over-concentration of certain types of Option ARM mortgage-backed securities.

ALEXANDRIA, Va. – NCUA yesterday extended its extraordinary guarantee of all corporate credit union deposits for another three months, allowing corporates to issue new CDs with maturities up to two years.

MILWAUKEE – A federal judge here ruled that Corporate Central CU and a handful of other corporate credit unions are not entitled to as much as $100 million of so-called excess investments they held in U.S. Central FCU before last year’s failure of the corporate giant.

WARRENVILLE, Ill. – Members United Corporate FCU reported additional losses of $8 million this morning on its investments for July, erasing $3.4 million of operating net for the month and creating a $4.6 million loss for July. Year to date losses are $11.2 million.

LYNCHBURG, Va. – Virginia Corporate FCU is the latest corporate to transition services away from U.S. Central FCU as the future of the corporates’ corporate continues to be shrouded in uncertainty.

ALEXANDRIA, Va. – NCUA is not expected to delay a final vote on its corporate credit union regulation to implement provisions of the newly passed Wall Street reform bill, including the measures requiring certain credit ratings for corporate investments, and is still expected to vote the final rule next month.

LAS VEGAS-U.S. credit unions wrestling with the future structure of their corporate CUs might want to look north of the border for some examples to consider.

LAS VEGAS-This much is certain: Corporate credit unions will operate with a much-different business model in the near future.

WASHINGTON — The Association of Corporate Credit Unions had been without a leader for several months following Brad Miller's move earlier this year to head up Southeast Corporate FCU. But that's changed with the hiring of Larry Harmon, president of Qversal Financial Solutions, to take over as Interim Executive Director. Credit Union Journal spoke with the industry veteran about leading the trade group for corporate CUs during what will certainly be one of the greatest periods of re-structuring and change.

WALLINGFORD, Conn. – Troubled Constitution Corporate FCU on Friday reported another $1.2 million of losses for June, pushing its NCUA-subsidized prior undivided earnings deficit up to $24.5 million at mid-year.

ALEXANDRIA, Va.-Audited financials for NCUA's year-old Temporary Corporate CU Stabilization Fund shows the corporate bailout fund ended 2009 with liabilities of just under $7 billion, or almost $1 billion more than projected when the fund was created last year.

CHICAGO-During NAFCU's 43rd Annual Conference at Navy Pier, Credit Union Journal asked attendees for their stance on recapitalizing the corporates.

SAN DIMAS, Calif. – WesCorp FCU said it is partnering with Procura, LLC to offer credit unions a system to track and manage Health Savings Accounts.