CLEVELAND – A former county commissioner and business partner of local financier A. Eddy Zai was sentenced last week to five years of supervised release and one day in prison for his part in the huge fraud case that led to the 2010 collapse of St. Paul Croatian FCU.

Ted Vannelli, 66, Zai’s father-in-law, pleaded guilty to counts of aiding and abetting and conspiracy in helping Zai obtain $19 million of fraudulent loans from the $240 million credit union. He was given a reduced sentence because of his agreement to give testimony against Zai.

Subscribe Now

Authoritative analysis and perspective for every segment of the credit union industry

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.