Tuesday, September 06, 2011

Reign Of Error...

Office of Inspector General
Material Loss Review of
Members United Corporate FCU
May 4, 2011

Executive Summary:

NCUA Supervision of Members United

"We determined NCUA failed to adequately assess or timely identify key risks related to Members United's investment portfolio related to the concentration of mortgage-backed securities, until it was too late." (page 3)

"We believe stronger and timelier supervisory action regarding Members United's concentration in mortgage-backed securities could have resulted in a reduced loss to the TCCUSF." (page 3)

"Similar to Member United's management, NCUA also placed significant reliance on..." (page 4)

"NCUA confirmed that as of February 28, 2011 the TCCUSF had recorded a loss of $400.1 million for Members United." (page 9)

Well y'know, sometimes stuff just happens, but..

Any chance NCUA can sue itself...?

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