Rep. Darrel Issa (R-Calif.) has asked NCUA Inspector General William DeSarno to determine if the NCUAviolated an executive order when it inked a contingency agreementwith two law firms handling the regulator's securities fraudlawsuits against Wall Street bankers.

Issa, chairman of the House Committee on Oversight andGovernment Reform, made the request in an Oct. 16 letter to DeSarnoobtained by Credit Union Times.

In the letter, the California lawmaker was critical of theNCUA's contingency fee arrangements with two law firms, theWashington-based Kellogg Huber and the Chicago-based KoreinTillery, because they are collecting 25% of all claims recoveredfrom banks that allegedly sold fraudulent securities to corporatecredit unions that resulted in their collapse.

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