MAUI — After the NCUA came out with its board of directors regulation last year, the question arose as to where volunteers' risk exposure had increased greatly.
According to Brian Witt, partner with Farleigh Wada Witt, despite some insurance providers' assertions, "I don't think your personal risk is greatly increased."
Witt said the WesCorp suit against the officers and directors provided some insight into the matter. Seven credit unions sued the WesCorp board and officers for negligence and gross negligence, and later the NCUA took over the case, adding fraud to the charges against the corporates' former executives. He noted that while the case against the officers rages on, the judge dismissed the charges against the directors, finding that they had acted with an acceptable level of business judgment and no breach of fiduciary duty.
Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.
Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
- Exclusive discounts on ALM and CU Times events.
- Access to other award-winning ALM websites including Law.com and GlobeSt.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
