Seven credit unions that filed a negligence suit last November against former and current directors and employees of Western Corporate Federal Credit Union have reached an agreement with the NCUA that will allow the regulator to intervene in the suit.
Dated Feb. 17, court documents obtained by the Credit Union Times state plaintiff credit unions and the NCUA "stipulate and agree that the Conservator's Motion for Leave to Intervene, currently scheduled for hearing on Feb. 24, 2010, may be granted and the Conservator may be granted leave to intervene in this action."
Stuart Perlitsh, president/CEO of plaintiff Glendale Area Schools Federal Credit Union, said he was unable to disclose the terms of the stipulation, but said he was pleased the seven credit unions "came to an arrangement that will permit the NCUA to intervene without prejudicing our rights."
