The NCUA has filed suit in federal court seeking $2.2million from two former St. Paul Croatian FCU members italleged haven't repaid loans it received fraudulently fromthe now-defunct credit union in suburban Cleveland.

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The agency, in a suit filed in U.S. Bankruptcy Court in Akron,Ohio, is seeking the money from Sinisa Baros and Simona Barosof Medina, Ohio, who were among the members of the now-defunctcredit union who received loans authorized by the former CEO Anthony Raguz.

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Last month, Raguz, whose actions helped trigger one of thelargest credit union failures in history, pleaded guilty to sixcounts, including bank fraud, money laundering and bank bribery infederal court in Cleveland. He is in in prison now and is scheduledto be sentenced in January.

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The NCUA's lawsuit alleged that Sinisa Baros received loans,some of which he refinanced, but never disclosed that his incomedeclined because he lost his job. The agency alleges that Raguzand Sinisa Baros shifted some of the loans to the account ofhis wife, Simona Baros.

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The Baroses filed for Chapter 7 bankruptcy in March.

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Last year, the NCUA conserved and then closed the $240 millioncredit union, located in the Cleveland suburb of Eastlake, Ohio.The failure cost the NCUSIF $170 million.

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Raguz is one of 16 people hit with criminal charges in the credit unionfailure.

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