NCUA Hits Borinquen FCU in Philadelphia With Cease and Desist
The NCUA issued a cease and desist order to Borinquen Federal Credit Union on Tuesday and ordered it to take three steps to remedy problems in its operations.
The agency ordered the $7 million Philadelphia-based credit union to: Obtain a CPA opinion audit and verification of member accounts; reconcile cash and bank accounts; and establish and maintain a Bank Secrecy Act compliance program.
According to its most recent Call Report, Borinquen FCU has had a mixed financial picture.
Its net worth ratio was 15% at the end of the first quarter. However, its delinquent loan ratio was 7.5% and it had a return on average assets of -0.52%.