Sources: FBI probing failure of 6 area credit unions
The National Credit Union Administration on Tuesday liquidated six federal credit unions in the Philadelphia region, all overseen by the same chief executive.
Update 1:45 p.m.: The Federal Bureau of Investigation has opened a case looking into the failure of six local credit unions in Bensalem – all of which were headed by the same chief executive, a woman by the name of Joni Brown, according to law enforcement sources.
Local FBI officials wouldn't confirm or deny the existence of an investigation, and whether the offices had been shut down.
Ms. Brown couldn't be reached for comment at the main number for all six credit unions. One trade magazine and a spokesperson for the federal regulator said she had been admitted to a local hospital.
A person who answered the phone at Brown's main office number declined to comment and said she had left.
The six credit unions overseen by Brown and liquidated this week include:
Cardozo Lodge Federal Credit Union, which served 83 members and had assets of $226,485, according to the credit union's most recent Call Report. Chartered in 1960, Cardozo Lodge Federal Credit Union primarily served regular members of the Cardozo Lodge No. 400, Independent Order Brith Sholom, in Philadelphia and employees of Rovner, Allen, Rovner, Zimmerman and Nash who work in Feasterville;
Chester Upland School Employees Federal Credit Union served 593 members and had assets of $827,269, according to the credit union's most recent Call Report. Chartered in 1939, Chester Upland School Employees Federal Credit Union primarily served employees of the Chester Upland School District in Chester City, Chester Township and Upland Borough in Delaware County;
Electrical Inspectors Federal Credit Union served 44 members and had assets of $65,894, according to the credit union's most recent Call Report. Chartered in 1976, Electrical Inspectors Federal Credit Union primarily served active and associate members of the Eastern Pennsylvania Chapter, Eastern Section, International Association of Electrical Inspectors in Philadelphia and employees of Municipal Inspection Corporation who work in Philadelphia;
O P S EMP Federal Credit Union served 85 members and had assets of $1,182,927, according to the credit union's most recent Call Report. Chartered in 1968, O P S EMP Federal Credit Union primarily served employees of O.P. Schuman & Sons, Inc. who work in Warrington;
Servco Federal Credit Union served 795 members and had assets of $2,193,229, according to the credit union's most recent Call Report. Chartered in 1950, Servco Federal Credit Union served various groups in Delaware, New Jersey, New York and Pennsylvania;
Triangle Interests % Service Center Federal Credit Union served 99 members and had assets of $290,098, according to the credit union's most recent Call Report. Chartered in 1995, Triangle Interests % Service Center Federal Credit Union primarily served natural person members of Triangle Interests headquartered in Philadelphia.
All six credit unions received management and recordkeeping services from Service Center for Credit Unions, also based in Bensalem and overseen by Brown.
Earlier:
The National Credit Union Administration on Tuesday liquidated six federal credit unions in the Philadelphia region, all overseen by the same chief executive.
Chester Upland School Employees Federal Credit Union in Chester and five credit unions in Bensalem - Cardozo Lodge Federal Credit Union, Electrical Inspectors Federal Credit Union, O P S EMP Federal Credit Union, Servco Federal Credit Union, and Triangle Interests % Service Center Federal Credit Union - were deemed "insolvent and had no prospect for restoring viable operations," according to a spokesman for the regulatory agency, based in Arlington, Va.
Accounts are insured for up to $250,000, according to the spokesman.
Members with questions about insurance coverage may contact the NCUA by phone 1-877-715-0777 from 9 a.m.-6 p.m. Monday to Friday, or visit www.mycreditunion.gov.
215-854-2808 @erinarvedlund