AEA FCU Loan Trial Under Way
A jury is currently hearing testimony in the case involving William Liddle, former lending officer at AEA Federal Credit Union, who was allegedly involved in a loan kickback scheme.
The trial is taking place in Phoenix this week with the prosecution calling its first witness to testify against Liddle, according to media reports.
In December 2010, AEA confirmed that an 11-month federal investigation revealed that Liddle, a former vice president of business services at the credit union in Yuma, Ariz., was allegedly one of the persons behind the approval of business loans in an apparent $1 million kickback scheme.
During his time at the credit union, Liddle approved more than $25 million in business loans, according to an indictment from a Phoenix federal grand jury. Liddle, along with his wife Rhonda and Frank Ruiz, an Arizona businessman, were arrested in December 2010 for their roles in approving questionable AEA business loans in exchange for nearly $1 million, according to the Arizona Office of the United States Attorney.
Ruiz used the loans to fund his businesses, many of which are now bankrupt, according to the district attorney.
The Liddles were charged with 68 counts of money laundering and various other types of fraud. Ruiz pled guilty last June to several similar counts. According to media reports, Ruiz is scheduled to testify against Liddle.
Liddle worked at AEA from November 2004 to December 2009.
The NCUA placed AEA in conservatorship in December 2010.