The NCUA on Thursday issued prohibition orders to two former small credit union managers who looted their institutions to the point of failure.
Cindy Dechant, the former manager and sole employee of the shuttered $270,000 Associated Blind of Oklahoma/Texas Federal Credit Union in Oklahoma City, pleaded guilty to the charge of bank fraud.
Dechant was sentenced to 42 months in prison, three years of supervised release, and ordered to pay restitution in the amount of $194,297.94. ABOTFCU merged into the $2.9 billion Tinker Federal Credit Union in February 2009.
Theresa Portillo, the former manager and sole employee of the shuttered $3 million Women’s Southwest FCU of Dallas consented to the issuance of a prohibition order to avoid the time, cost and expense of administrative litigation.
Portillo pled guilty Dec. 18 to embezzlement charges, admitting she stole $3.4 million from the credit union over an 11-year period. According to court documents, she sold 18 credit union-owned certificates to other institutions and pocketed the proceeds, using the cash to buy real estate, jewelry and a Mexican time share in Cabo San Lucas.
The two are permanently barred from participating in the affairs of any federally insured financial institution.
NCUA enforcement orders are available online at http://go.usa.gov/4ReQ and for inspection at the NCUA’s Office of General Counsel between 9 a.m. and 4 p.m. Monday through Friday.