Legal issues and news

HARTFORD, Conn. – An investment accountant at United Nations FCU was sentenced to five months in prison for stealing more than $87,000 from the credit union by filing false medical claims.

CLEVELAND – Lawyers representing NCUA are putting the finishing touches on a restitution agreement with local financier A. Eddy Zai in the big fraud at St. Paul Croatian FCU that would pay the agency $21.3 million, the biggest restitution deal ever for the credit union regulator.

HOUSTON – A man convicted Monday of robbing the in-store branch of First Community CU in September is believed to be responsible for as many as five armed robberies at grocery store credit union and banks in the area.

PORTLAND, Ore. – Police are looking for a man they said grabbed two boxes of cash from an armored car employee who was replenishing OnPoint CU ATMs and quickly disappeared early Friday morning.

CLEVELAND – Two more local businessmen were charged last week in the massive fraud that led to the 2010 collapse of St. Paul Croatian FCU.

DETROIT -- A boxer whose bloody nose swab led to criminal charges was convicted Friday of a 2009 armed robbery at Monroe County Community CU in the town of Temperance.

TEMPERANCE, Mich. – The former manager and sole employee of tiny United Catholic CU pleaded guilty this morning to embezzling $2.1 million from the now-failed credit union, which never claimed more than $500,000 in assets, over more than 20 years.

CHARLESTON, S.C. – A state court yesterday approved a request from the South Carolina Revenue Department to notify credit unions and banks of the 3.3 million bank account numbers compromised when someone hacked department tax files, allowing the depositories to determine which accounts may be at risk.

MADISON, Wis. – Eight homeless men were arrested Tuesday and charged with cashing forged checks at local credit unions and banks on behalf of what police believe is an interstate ring.

AURORA, Ill. --Former Aurora Firefighters CU President Anne Schaal admitted in her divorce settlement that she spent $580,000 in marital assets on a gambling addiction she hid from her husband of 46 years.

MANASSAS, Va. --Police are looking for one or more suspects who placed a skimmer on a Navy FCU ATM here.

ALEXANDRIA, Va. – The former CEO of Arkansas Employees FCU was banned from the credit union industry by NCUA this afternoon for stealing $500,000 from a member which she used for her own investment.

MIDLAND, Texas – A former loan officer at My Community FCU pleaded guilty yesterday to approving $4 million in fraudulent auto loans in return for kickbacks.

RIDGECREST, Calif. – AltaOne FCU has signed with Lifelock to enable members to enroll in LifeLock identity theft protection at a reduced price.

FRESNO, Calif. – CUMIS Insurance Society filed suit in federal court here yesterday to recover $182,800 it claims a branch manager at Educational Employees CU stole through 56 unsecured loans she approved to family and friends, though she appears to have siphoned most of the proceeds for herself.

SAN ANTONIO -- Two suspects disabled a surveillance camera and then used a blow torch to try to get inside an ATM at a Randolph Brooks FCU branch early this morning but fled before they were able to get inside the machine when they were spotted by a security guard.

CLEVELAND – Anthony Raguz, the CEO of St. Paul Croatian FCU, was sentenced this morning to 14 years in prison and ordered to pay $72 million restitution for masterminding the biggest fraud in credit union history that led to the 2010 collapse of the $240 million credit union.

CLEVELAND – The last of 26 people charged in the massive fraud at St. Paul Croatian FCU pleaded guilty yesterday to bank fraud and money laundering in the $185 million scheme.

PANAMA CITY, Fla. – Dozens of Tyndall FCU members have reported fraud on their credit card statements and police are investigating potential ties to local merchants.

CLEVELAND – NCUA on Friday asked a federal court to award it $6.3 million from the manager of a tiny credit union that allegedly stole $2.1 million during a 20-year fraud.