Kam Wong’s employees ‘were afraid to challenge him,’ court documents show
Prosecutors seek a substantial prison sentence, while his attorney pleads for leniency because of Wong’s gambling addiction and drug use.
Former Municipal Credit Union CEO Kam Wong got away with his $10 million fraud for years by managing New York’s oldest financial cooperative by forewarning employees to follow his demands without question or risk termination and to address him as Mr. Wong or risk public reprimand, according to newly filed court documents.
Next week, federal prosecutors will ask U.S. District Court Judge John G. Koeltl in Manhattan to sentence Wong, 63, to at least six to 10 years in prison because his criminal activity was so extensive that MCU continues to work “to uncover and unwind the damage he wrought.” Just two weeks ago, the New York State Department of Financial Services took possession of the credit union that serves more than 580,000 members because of unsafe and unsound conditions. The NCUA was appointed the credit union’s conservator.
Wong’s workplace intimidation enabled him to run MCU to support a lavish lifestyle, to enrich himself, his family, friends, loyal employees and to satisfy his gambling addiction and drug habit. Wong’s lawyer, however, paints a different picture of his client saying he is not a sociopath but a recovering addict who has taken responsibility for his crimes and will do everything in his power to atone for them.
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