NCUA’s weekend seizure of California’s Telesis Community Credit Union put a focus Monday on the problems of one credit union’s venture into small business lending, participation loans and the downfall of one of its chief advocates, Grace Mayo, its president/CEO.
News Update, April 2, 2012, Telesis Management Taken Over By Premier America
Until the state’s housing bust and recession fallout in 2007-09, Mayo had long been a leading advocate among lawmakers at the state and national level pushing more MBL authority.
She had served on several political action committees of the California/Nevada Credit Union League and was first elected to the CUNA board in 2004 and served until February 2008.
Biographies show Mayo joined Telesis in 1986 at a time the credit union had $600 million in assets and 41,000 members with 10 branches. It now has about $318 million in assets and four branches and has lost money in recent years, including more than $11 million in 2010, a year in which Mayo was paid more than $2.1 million, according to IRS 990 forms.
Chatsworth-based Telesis currently has four branches, having closed its last branch in Van Nuys a year ago.
The bio noted that Mayo had served as chair of Business Partners, described as a multi-owner member business lending CUSO with 15 equity owners nationwide managing assets of $1.5 billion.
Said the bio, “Grace received her bachelor of science degree in business management from University of the Pacific, graduate degree in financial management from UCLA, and a certification in commercial lending from the University of Louisiana.”
“She also attended the executive development program at Stanford University School of Business. Grace is a national speaker on various credit union topics for state leagues, credit unions, and all major national trade association groups,” said the bio.