Commodore Perry FCU...

"Can Not Substantiate."

- NCUA OIG

Looks like yet another Region III case of...

Pearl....

Every day is a gift 

.... that you should share.

From The Field....

Credit unions serve "fat cats"
of modest meows...

"The elementary school students were very inquisitive of FAT CAT, asking many questions, such as does he eat Brussels sprouts and does he know sign language?"

(Yep, exactly what I was wondering....)

Capitalistic Prophets...

From an objective point of view, Ayn Rand was clearly a unique philosopher. Author of The Fountainhead and Atlas Shrugged, Ms. Rand was de rigeur reading on college campuses in the 1970's. More have claimed readership of the massive tomes than can be rationally verified; some of those who were more diligent have never fully recovered.

Cato Institute currently ayn ran BB&T prior....

One of Ms. Rand's disciples is North Carolinian John Allison, the former CEO of Branch Banking & Trust (BB&T) and current leader of The Cato Institute.  Mr. Allison has recently published a book on the failure of the banking system:  The Financial Crisis and the Free Market Cure:  Why Pure Capitalism is the World Economy's Only Hope.  As the title indicates, Mr. Allison shares not only Ms. Rand's philosophy, but also her lengthy love of words.

To date, I have given this book the same detailed immersion that Ms. Rand's received, but there are certainly many nuggets of gold (which, as Mr. Allison suggests, will be invaluable when we move back to that standard) to be found in this work.

The best bullion relates to the nature of - and persistent failure of - banking regulations over the course of U.S. history. Mr. Allison points out with anger and astonishment that Citibank was bailed out 3 times by the Federal government during his 30 year career with BB&T. The end result of those bailouts has been a Citibank now larger than ever, with many forecasting "#4" as a very realistic concern.  After a third strike, most folks would suggest you step down from the plate

"BALL !!!"

..... but that is not the way of a government regulatory agency, especially an "independent" one which, in the role of "batter as umpire," gets "to call its own strikes" !

Mr. Allison ascribes much of the on-going banking failures directly to the regulators themselves...

"The London Whale", et. al. .... Moby Bank?

Too-Oink-to......

"Systemically important financial institutions (SIFIs), meaning 'too-big-to-fail' (TBTF) banks, are too-dangerous-to-permit."

- Richard Fisher, President
   Federal Reserve Bank of 
                   Dallas

Mr. Fisher has several interesting observations on the problems created by the vast concentration of U.S. banking assets in the hands of so few institutions. For example, although there are over 6,000 banks in the U.S., over half of total assets are held by just 5 institutions. Ten years ago the top ten banks held 26% of total assets; today the top ten hold over 61% of total assets ... future prospects do not imply a change in this trend.

Sprawling....

The Federal Reserve Bank President pointedly lowers the boom with his assertion that the 'too-big-to-permit' banks are "so sprawling and complex .... so vast that their own management team may not fully understand their own risk exposures, providing fertile ground for...

HO - HO - HO....

Ohio CU League Displays Xmas Ornaments....

Christmas Ornaments !!!

Just when you are about to throw in the towel in despair, at the absence of leadership within CUNA:

Infallible !!!  Ask our OIG !!!

"The effectiveness of NCUA's exam appeal process is a matter of perspective.It functions well if intended to affirm the infallibility of NCUA's work.  For credit unions seeking balance and fairness, the process falls short."

"Undoubtedly, there are greater concerns among credit unions about NCUA - a budget process lacking restraint, prescriptive supervision, undermining the state system, however, the absence of a meaningful appeals process is a serious vulnerability for all."
                              - Paul Mercer, CEO
                                Ohio CU League 
                                CUTimes (12/19/2012) 

Clearly, the Ohio League has a very worthy
 set of...

NCUA Continues To Protect "The Liquidator"....

Now a "federally protected species" !! 

"The Liquidator ", one of NCUA's principal examiners, remains at large in Region 3 after the Office of Inspector General (OIG) "could not substantiate" the allegations of sexual harassment by four female employees of Commodore Perry FCU in Ohio. (CUTimes 12/19/2012).

Well, after all, there were only four witnesses
... and all were female !!!

OIG in its findings evidently once again chose to give "The Liquidator" and his "L'etat c'est Moi" employer another....

Pearl....

"Any man (or woman) can be brave when there is no danger."

- Frederick Douglass

Haiku For You....

Black Mountain

 Peppermint milk shake

Splashed across a canvas
For an art full end.