The IG launched the investigation after Jim Blaine, President of State Employees’ CU (SECU), requested a review of statements made by Yolles in a December 6 letter to Jerrie Jay, administrator of the N.C. Credit Union Division.
The IG limited its investigation to two statements by Yolles: (1) Jay's statement that NCUA intended to terminate SECU’s NCUSIF share insurance and (2) Jay or someone in her office providing an early draft of a Document of Resolution (DOR) to the credit union prior to the exit interview.
On the first allegation, the IG found:
"A careful consideration of the exchange between Jay and Yolles at the September 19 meeting indicates that Jay was inquiring whether NCUA had initiated the process of terminating SECU’s share insurance status, not “announcing” it. However, given the leading nature of Jay’s questions and the heatedness of their exchange, we can see how Yolles might have concluded that Jay’s statements amounted to an announcement. Therefore, we cannot conclude that Yolles’ statement in his December 6 letter, viz., that Jay announced that NCUA had initiated the process of termination of NCUSIF insurance of SECU share accounts, meets the definition of a false statement under 18 U.S.C. § 1001."
On the second allegation, the IG concluded:
"The investigation substantiated that Jay attached a copy of the draft DOR to her email ... on July 18, 2010. Consequently, the evidence does not support a finding that Yolles’ statement in the December 6, 2011, letter was false."Read the results on the IG investigation.