Conserved Vensure FCU, Tied to Internet Gambling Account, Lives to Argue Another Day
Vensure Federal Credit Union, the small Mesa, Ariz., credit union that is suing to force the NCUA to reinstate its leadership has experienced some ups and downs the last few days.
U.S. District Judge Rosemary Collyer in Washington denied the credit union's motion for a temporary restraining order against the agency and a motion to expedite discovery in the case.
But Collyer ordered government lawyers representing the agency to appear on May 11 to defend the agency's actions and to show cause why NCUA's conservatorship should go forward.
The agency took over the CU on April 15 after its largest deposit account had been included in a federal investigation of Internet gambling payments.
But Vensure claimed in its filings that NCUA knew about its work processing ACH transactions for the organization and that the credit union had already complied with the agency's demand to stop performing the work. The CU also argued that it was sufficiently well capitalized to continue operations even without the ACH processing.