Yesterday, the NCUA issued prohibition orders for two former credit union managers who defrauded their credit unions causing them to fail.
Cindy Dechant, former manager and the only employee of the $270,000 Associated Blind of Oklahoma/Texas Federal Credit Union pleaded guilty to bank fraud. She was sentenced to 42 months and three years of supervised release. She was also ordered to pay more than $190,000 in restitution.
Theresa Portillo, former manager and the only employee of the $3 million Women’s Southwest FCU in Dallas consented to a prohibition order instead of using her time and money to fight legal action. In December, she pleaded guilty to embezzling $3.4 million from the credit union over 11 years. She used the money to buy jewelry, real estate and a Mexican timeshare, according to court documents.
The NCUA has permanently barred Dechant and Portillo from being involved with any federally insured financial institution. Click here to read more.