Felker: Credit Unions Still Asking Who Dropped the Corporate Ball
Charlie Felker, managing director of regulatory affairs at First Empire Securities, said credit unions haven't stopped asking who's to blame for the corporate crisis.
Despite observations from those who attended the NCUA's Town Hall meetings that credit unions leaders have moved on, Felker said his observations suggest otherwise. He said the 300-odd participants who participated in his Webinar last week, which focused on proposed corporate regs, repeatedly called for an investigation into whether the NCUA failed to properly regulate corporate investments.
"NCUA's perception as a regulator has suffered," Felker said. "There's a feeling among credit unions that they didn't get the job done." He added that the NCUA's refusal to conduct an investigation into regulatory failures at U.S. Central, WesCorp and other corporates is fueling the fire.
"Credit unions are writing off capital, paying large assessments, and they deserve an answer," he continued. "There's a growing mood that the NCUA's inspector general should be looking into this. It's not going away; credit unions are still asking that question."