Fraud Friday – Former Credit Union CEO Faces 4 Felony Counts for $88,000 Fraud


November 29, 2013

150px-US-DeptOfJustice-Seal.svgBob Coleman
Coleman Report

In a week that saw the Feds asking a judge to add a Wells Fargo banker to their civil lawsuit, not criminal, civil lawsuit, for his “critical role” in hiding $189 million worth of fraudulent home loans, we note this four county felony criminal indictment out of the state of Washington.

What did our alleged fraudster do?

The US Attorney says after the $69,500-a-year employee submitted her letter of resignation, but before she left the premises, she submitted paperwork showing a bump in her credit union visa card from $25,000 to $50,000. Which she promptly took $18,000 in cash advances.

And they say she previously back-dated disability insurance coverage on two car loans. She did this after her husband’s stroke, getting $70,000 in disability payments to pay off the loans from the insurance carrier.

So we have another alleged perp from a community-based lending institution.

Perhaps it is time community banks and credit unions tighten up their hiring standards. All our fraudsters are coming from those institutions these days.