Some Technicolor FCU Employees Under Investigation
The Burbank, Calif-based Technicolor Federal Credit Union abruptly closed June 30 due to an internal investigation into employee misconduct. When it reopened the next day, it was partially staffed by employees on loan from other credit unions.
CEO Eric Dosch would not say how many of the $38 million credit union's 12 employees "overstepped their bounds," or if the investigation would result in criminal charges.
According to two CEOs of neighboring credit unions, at least half of Technicolor's employees may be involved.
Stuart Perlitsh, CEO of the $333 million Glendale Area Schools Federal Credit Union, said he provided two employees to Technicolor, and the two remained on site as of July 6. He said the move was in response to Technicolor's internal investigation, but said he wouldn't discuss the investigation, nor could he provide a date when his employees would return. Since both credit unions use Symitar for core processing, there was not learning curve for the staff.
Steve McDiffett, CEO of the $700 million Los Angeles Federal Credit Union, said his Glendale-based credit union provided six employees to Technicolor: four tellers and two member service representatives who also function as loan officers. LAFCU's MSRs returned July 7, but the four tellers remained at press time.
The original commitment was for two to three weeks, he said.
NCUA Spokesman John McKechnie said Technicolor FCU is under normal supervision. Dosch said he has already contacted the regional office for advice.