Dozen More Mergers
ALEXANDRIA, Va.-NCUA last week approved another dozen mergers, including Western FCU, a $1.-billion Manhattan Beach, Calif.-based CU that was approved to acquire two troubled nearby credit unions: $76-million CD FCU and $41-million California Pacific FCU, categorized as in "poor financial condition" by NCUA. In addition, the $4.7-billion Bethpage FCU on Long Island was approved to merge troubled $6-million UFCW Local 342 FCU; American Heritage FCU, a $1.2-billion Philadelphia credit union, won clearance to acquire troubled $2-million Lower Bucks Hospital FCU; $565-million Credit Union of Southern California was cleared to acquire $61-million North Orange County FCU; $850-million Philadelphia FCU was approved to merge ailing New Bethel A.M.E. FCU; and, $1.1-billion Metro CU in Chelsea, Mass. was approved to acquire troubled $72-million Massachusetts State Employees CU.
NCUA also approved mergers for $1.7-billion Langley FCU of Queen Street Baptist Church FCU; $1.2-billion American Eagle FCU of $10-million Hartford Postal Employees FCU; $800-million Fox Communities CU of $20-million Sunrise CU; $715-million Aloha Pacific FCU of $12-million Hawaii Stevedores' Castle & Cooke FCU and $535-million Justice FCU (of $14-million Georgia Department of Public Safety FCU).
Michigan League Faces
ROYAL OAK, Mich.-The former General Counsel of the Michigan Credit Union League has filed a lawsuit against the league alleging discrimination and retaliation.
The suit was filed July 11 in U.S. District Court for the Eastern District of Michigan, and
the plaintiff, Veronica Madsen, is suing the Michigan League (along with CU Solutions Group, Inc. and CUCorp, Inc.) for $75,000, plus attorney's fees and punitive damages.
Madsen became the league's General Counsel in July 2005, and the suit alleges that her requests over the years for salary increases were consistently ignored or denied, and that she was denied a VP title and bonus opportunities because of her gender. The suit also alleges that Madsen was penalized for a deposition she gave in June 2010 in the case of another MCUL employee suing for gender discrimination. Following the deposition, Madsen was allegedly told by MCUL CEO Dave Adams that she would not be receiving a raise and that she would no longer be doing legal work for the league.
In December 2011, Madsen filed a complaint with the Equal Employment Opportunity Commission (EEOC) alleging that she was being retaliated against for her earlier testimony; following that EEOC complaint, the suit alleges that Madsen was stripped of her general counsel title and was demoted to director of regulatory affairs. Madsen later amended her EEOC complaint, stating that her demotion constituted further retaliation by her employers.
The suit alleges that in addition to discriminating against Madsen on the basis of gender, the MCUL violated the Elliott-Larsen Civil Rights Act "not to retaliate against her with respect to employment, compensation, or a term, condition or privilege of employment because she has opposed a violation of this act, or because she has made a charge, filed a complaint, testified, assisted, or participated in an investigation, proceeding, or hearing under this act."
Phoenix To Deposit Funds In Local CUs
PHOENIX-Phoenix last week became the latest city to adopt a local banking policy that will entail depositing $50 million of city funds in local credit unions and banks. Institutions must either be Arizona-chartered or have a physical presence in Maricopa County. Phoenix is the latest city to join a group of municipal and state governments that have sought out community institutions in the wake of the financial crisis. Phoenix officials said they hope the local deposits will provide community lenders with the capital to make loans to businesses and individuals, plus earn a higher rate of return.
121 Helps Tropical Storm Victims
JACKSONVILLE, Fla.-121 Financial CU has introduced a short-term, 8% fixed-rate Emergency Repair Loan for members recovering from the area's recent tropical storms. The loans are for $500 to $2,500 with a 12-month term, but the credit union said higher limits are available. The loans will be available until Oct. 30 at the CU's 12 branches.
PHOENIX-An article in the July 11 Credit Union Journal Daily Briefing incorrectly identified the Phoenix credit union losing almost $2 million on the sale of an MBL REO. It is Arizona State CU, not Arizona Federal CU.
CU Adds Fannie Mae To FOM
WASHINGTON-The Partnership FCU, formerly FDIC Employees FCU, was approved by NCUA to expand its field of membership to serve 7,000 employees of Fannie Mae in Washington, Philadelphia, Atlanta, Chicago, Dallas and Pasadena, Calif. The $125-million credit union currently serves employees at the Federal Deposit Insurance Corp., the National Sciences Foundation, the U.S. Secret Service, and several other select groups.
Okla. Central Opens New HQ
TULSA, Okla.-Oklahoma Central CU celebrated its new headquarters and branch last week at the former site of the historic Camelot Hotel, which was torn down nearly five years ago. The new facility on the northwest corner of 51st Street and Peoria Ave. will have banking services on the first floor and the second and third floors of the 22,000-square-foot building will house administrative and executive offices for the $470-million credit union.
Oklahoma Central's current headquarters on E. 41st St. will continue to operate as the credit union's flagship branch.
The nearly six-acre lot at 51st and Peoria was home to the historic Camelot Hotel, built in the mid-1960s.