Press

NCUA Signs Letter of Understanding and Agreement with Valley Pride Federal

Member Deposits Remain Insured up to $250,000

ALEXANDRIA, Va. (June 14, 2013) – The National Credit Union Administration has entered into a Letter of Understanding and Agreement with the Valley Pride Federal Credit Union of Plains, Pa., that requires the credit union to take steps to correct unsafe and unsound practices.
The specific steps required of Valley Pride include:
  • Engage a qualified individual to reconcile bank and corporate accounts;
  • Engage a Certified Public Accountant to perform an opinion audit;
  • Obtain training for the board of directors; and
  • Implement internal control procedures through the Supervisory Committee.
NCUA is working with the credit union to make a sustained, conscientious effort to correct these practices. Violations of the letter of understanding and agreement could result in NCUA initiating formal administrative actions under the Federal Credit Union Act, including civil financial penalties, cease and desist orders, removal and prohibition orders, or orders to liquidate, conserve or merge the credit union.
Valley Pride remains open for business as usual and is serving its membership. Members’ funds are federally insured up to $250,000 per account by the National Credit Union Share Insurance Fund, a federal insurance fund backed by the full faith and credit of the U.S. Government.
NCUA enforcement orders are online at http://www.ncua.gov/Legal/Pages/LUA.aspx and available for inspection at NCUA’s Office of General Counsel between 9 a.m. and 4 p.m. Monday through Friday. Copies are also available by writing NCUA, 1775 Duke St., Alexandria, VA 22314-3428.

NCUA is the independent federal agency created by the U.S. Congress to regulate, charter and supervise federal credit unions. With the backing of the full faith and credit of the U.S. Government, NCUA operates and manages the National Credit Union Share Insurance Fund, insuring the deposits of more than 94 million account holders in all federal credit unions and the overwhelming majority of state-chartered credit unions.

–NCUA–

More News