Call Ed Speed, CEO of $1.8 billion Texas Dow Employees Credit Union in Lake Jackson, Texas, a maverick. That is a reputation he has won as he has pulled his institution out of credit union industry mainstays such as CUNA and the Texas league.
The tough NCUA financial literacy requirements for credit union volunteer directors came as a loud wake-up call on Jan. 27, 2011. And the provision came with a requirement that all new directors had to gain financial literacy within six months of their election.
Call the NCUA suit against WesCorp’s outside directors the warning shot that, whether the NCUA wins or loses that case, makes clear one fact. Serving on a credit union board involves risks, responsibilities, accountability and losses when the job is not done well.
Florida lawyers Bruce Boiko and Michael Lozoff are now part of the financial services industry practice of the Miami law firm Shutts & Bowen.
With a sharp increase in CAMEL 3, 4 and 5 credit unions, the NCUA has said it will ask its examiners to redouble their efforts to detect problems early on.