Ignacio Morales, former CEO of the $7 million Borinquen FederalCredit Union, will spend more than seven years in federal prison for embezzling $2.3 million and causing thePhiladelphia institution's 2011 collapse.

Morales was sentenced Thursday by U.S. District Court Judge R.Barclay Surrick in Philadelphia. He also ordered Morales to pay$2.3 million in restitution to the NCUA and to pay restitution tothe IRS of $7.3 million.

Morales pleaded guilty in September to fraud, embezzlement,money laundering, failing false income tax returns and possessionof cocaine with intent to distribute.

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