Former Arrowhead Central Credit Union President/CEO Larry Sharp said the NCUA refused four consecutive net worth restoration plans because Arrowhead management was "too optimistic" in its forecasting.
The NCUA today confirmed reports that seized $808 million Arrowhead Central Credit Union laid off 27 employees Friday.
June 30 call reports for the $808 million Arrowhead Central CU, released late yesterday by the NCUA, reveal the institution was running at a $1.45 million loss shortly after its June 25 conservatorship.
The NCUA announced Wednesday evening that it has relieved four former Arrowhead Central Credit Union employees of their duties.
The controversy over whether or not the NCUA was justified when it seized the $876 Arrowhead Credit Union
Interim President/CEO of the California and Nevada Credit Union Leagues David Chatfield told Credit Union Times today he thinks the NCUA seized the $876 million Arrowhead Credit Union because someone in the agency "had an axe to grind."
The $876 million Arrowhead Central Credit Union was seized this afternoon by the NCUA and placed into conservatorship.
In separate moves, two of the struggling sand state credit unions, the $851 million Arrowhead Central CU in California and the $370 million AEA FCU of Yuma, Ariz., found themselves suffering more of the recession's fallout this month.
The troubled $851 million Arrowhead Credit Union of San Bernardino, Calif. is selling off five of its branches to the $3.9 billion Alaska USA FCU, it was announced Thursday.
As part of its cost-cutting over the last year, ailing Arrowhead Central Credit Union has cut its staff by a fifth to 400 and has shrunk its loan portfolio "way down" in three areas-autos, home equity and RVs, said Larry Sharp, president/CEO.