I know that I sound like a broken record; however, the National Credit Union Administration (NCUA) needs to become more transparent regarding its decisions with respect to credit union applications.
Recently, NCUA approved an application of Jefferson Financial FCU (Metairie, LA) to issue $12 million in secondary capital.
Unfortunately, the agency did not disclose its decision on this application.
I requested information regarding Jefferson Financial's application. An NCUA spokesperson stated that "as for any specifics regarding the Jefferson Financial Federal Credit Union’s secondary capital plan, those are confidential."
NCUA's behavior is different from the other federal banking regulators. The other federal banking regulators publish their decisions regarding applications from their regulated institutions.
Hopefully, NCUA will alter its behavior and start to disclose its decisions regarding credit union applications.
Greater transparency needed at NCUA, yes.
ReplyDeleteGreater accountability too.
They’re rogue.
As a credit union vulnerable to assessments from Riverdale, melrose, LOMTO on hundreds of million in taxi loans, we should know if NCUA is allowing credit union to issue capital and perform questionable practices.
ReplyDeleteWe should know if NCUA is allowing a credit union to issue capital and merge in a supervisory mistake...while the isssuer is selling to investors that could include other credit unions. Interconnected risk.
As a taxpayer, I resent putting taxpayer funds at risk and also while credit unions do not pay income tax.
The NCUA reserve account cannot handle taxi loans so are they allowing credit unions to issue capital to acquire melrose and LOMTO too?
We should just pay taxes, work under fdic and raise capital.
This is getting like the corporates again.