New York Times Runs Correction on SECU Brokerage Story
The New York Times said it mistakenly linked an employee that worked with a defunct credit union broker to State Employees' Credit Union in a story involving a brokerage account complaint.
The Jan. 23 correction states "The Fair Game column last Sunday, about a securities arbitration case brought against S.E.C.U. Brokerage Services on behalf of an elderly widow, misstated the company affiliation of the person who met with her and sold her the investment at issue. He was employed by a firm that was later acquired by S.E.C.U.; he did not work for S.E.C.U."
The case of Helen Cohen, now deceased, involves an alleged real estate investment loss of $700,000 and $2.6 million in damages. An investment representative who was working at credit union broker-dealer XCU Capital Inc. advised Cohen on the failed transaction, according to Cohen's complaint. The $21 billion SECU acquired XCU Capital's corporate brokerage shell in 2008 and renamed it SECU Brokerage Services. In 2007, XCU Capital was acquired by LPL Financial.
Jim Blaine, president of the $21 billion SECU, in a response sent to the New York Times reporter, which he also provided to Credit Union Times, refuted several statements in the story.