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The NCUA said Tuesday it banned six former credit union employees, including a CEO, operations manager and loan processor from ever participating in the affairs of any federally-insured financial institution.
Joan Brown, who stole more than $1 million to keep her management company and the six credit unions it served afloat, began her sentence on Aug. 23 at a minimum federal security prison in Danbury, Conn., at the age of 81.
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In April 2016, the NCUA shuttered six Philadelphia area credit unions because of their insolvency. Service Center for Credit Unions Inc. based in Bensalem Township, Pa., which Brown cofounded with three other individuals in the 1980s, was providing these credit unions with management services, including accounting services.
Starting in 2010 and through 2016, Brown embezzled more than $1 million, which was drawn on accounts of Cardozo Lodge Federal Credit Union, O.P.S. Employees Federal Credit Union, Chester Upland School Employees Federal Credit Union, Triangle Interests Federal Credit Union, Electrical Inspectors Federal Credit Union and Servco Federal Credit Union.
A federal judge in Philadelphia sentenced Brown in May to three years and five months in prison, and five years of supervised release. She also was ordered to pay $1,016,900 in restitution.
Her scheduled release date is July 21, 2024, according to the Federal Bureau of Prisons.
Angela Domingo, a former credit union operations manager for the $391 million CU Hawaii Federal Credit Union in Hilo, who told federal investigators that her embezzlement was "like stupid funny," began her two-and-a-half-year sentence on July 14 at the Federal Bureau of Corrections facility in Honolulu.
She admitted to taking small amounts of money ranging from $4,000 to $8,000 from the vault and teller drawers for more than three years and depositing the cash in the accounts of her husband, daughter, a niece and a nephew. She lost track of how many times she did this, according to court documents.
Initially, when questioned about whether she stole the funds, Domingo said, "I know it's not funny. I'm sorry, it's like stupid funny," according to federal investigators.
In November 2017, a senior internal auditor for CU Hawaii contacted the federal authorities to report a large cash discrepancy at the Hilo branch following a surprise cash audit.
That audit was conducted immediately after an employee allegedly witnessed Domingo stuff cash from the vault into her pocket on Oct. 31, 2017, James Takamine, president/CEO of CU Hawaii, said.
During a sentencing hearing in May, a federal judge also ordered her to pay $328,073 in restitution and serve three years of supervised release after she is released from prison on Aug. 2, 2023.
While Gabriela Bibriesca was working as a loan processor for the $177 million Santa Cruz Community Credit Union, she allegedly originated fraudulent COVID-19 loans from November 19, 2020 to June 2020, according to the NCUA. The California credit union lost $13,500.
Because Bibriesca violated the credit union's loan policies, she was fired.
The NCUA said Bibriesca neither admits nor denies these facts. The independent agency did not say whether her alleged fraud was reported to law enforcement authorities.
Veronica Mauga, a former teller for the $334 million Hawaii Central Federal Credit Union in Honolulu allegedly withdrew funds from "several member accounts" and spent the money for her own use, according to the NCUA. She also allegedly stole cash from her teller drawer and falsified her teller drawer cash count to conceal the true amount in the drawer, the NCUA alleged.
The federal agency did not say how much money Mauga allegedly stole or whether her theft was reported to law enforcement authorities. The former teller did not admit nor deny the NCUA's findings.
Clarissa Johnson, a teller for the $584 million Northland Area Federal Credit Union in Alpena, Mich., allegedly withdrew funds from a member's share account, according to the NCUA.
Although the federal agency did not say how much Johnson stole from the credit union in 2020, she pleaded guilty to one count of larceny and one count of conspiracy to commit larceny in the 34th Circuit Court in Ogemaw County in April 2021, the NCUA said. Court records were not publicly available online. In August 2020, another former teller, Bethann Kraenzlein, who worked at Northland Area Federal Credit Union ($584 million, Alpena, Mich.), was banned by the NCUA for stealing more than $10,000 from member accounts.
Cristal Santiago, a former employee for the $261 million North Jersey Federal Credit Union in Totowa, N.J., allegedly withdrew funds from "several member accounts" and kept those funds for her own use.
The NCUA did not say how much Santiago allegedly stole, when she stole the funds or whether the alleged theft was reported to law enforcement authorities.
Santiago neither admitted nor denied the NCUA's findings.
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