Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

CU System
Four defendants removed from investments lawsuit
MIAMI and BOCA RATON, Fla. (11/9/09)--An amended complaint in a class action lawsuit filed against a Florida credit union over fraudulent investment losses perpetrated by a now-defunct broker dealer has removed from the case four individuals originally cited as defendants. The amended complaint was filed Oct. 27 in the U.S. District for the Southern District of Florida and replaces one that had named Boca Raton-based IBM Southeast Employees FCU and four people among the defendants. Those who are no longer defendants are Lary B. McCants, the credit union's president/CEO, and three financial services representatives of the now-defunct broker, Wellstone--Christi Seay, Jay Jones and Barbara Leschander. Seay told News Now that the representatives were removed from the lawsuit because it was determined they were not employees of the credit union. The suit alleges the credit union referred clients to Wellstone, a broker dealer created by Cornerstone Ministries, without adequate due diligence. Wellstone and Cornerstone are both defunct, according to the court documents filed. McCants confirmed to News Now that the amended class action complaint was filed.


RSS print
News Now LiveWire
Plattsburgh, NY, paper lauds @DannemoraFCU, @TiconderogaFCU for shred event, ID theft protection See #NewsNow http://t.co/VqWO986j9i
12 minutes ago
Did you ask @CommonwealthCU CEO a fin. question on #heyKaren day? She'll answer #likeaboss http://t.co/2PgZAp9qu0 https://t.co/RySBvM4rBc
11 hours ago
Texans linebacker Cushing continues outreach, spokesman role for @FirstCommCU http://t.co/wIUGhn9okM
14 hours ago
Despite what consumers say, big banks still hold sway over market via @Marketplace http://t.co/ozH69d8soj
16 hours ago
Erie, Pa., Americo FCU CEO praises staff for actions during robbery http://t.co/yyhaPnDtXh
17 hours ago