Southeast Wisconsin credit unions, which lost millions in theMarch bankruptcy of Central States Mortgage Co., a CU-owned CUSO,and CU Fleet, a Milwaukee auto dealership, apparently have reacheda settlement allowing them to recover claims totaling $82 million,according to local media reports.

In articles appearing this week, the Milwaukee BusinessJournal quoted the CSMC receiver and CU officials as saying agroup of 24 CUs had recently reached an agreement that gives themcontrol of $71.5 million in loans and lender-owned homes in theCentral States Mortgage receivership, which went before a MilwaukeeCounty Circuit Court last spring.

Central States was a Wauwatosa, Wis. mortgage firm withinvestors including the Wisconsin Credit Union League that closedin March and was 70% owned by credit unions, many of which alsoprovided cash for a mortgage financing pool.