ALEXANDRIA, Va. (6/17/13)--Valley Pride FCU, Plains, Pa., has agreed to "take steps to correct unsafe and unsound practices" under the terms of a letter of understanding and agreement (LUA) with the National Credit Union Administration (NCUA).
In the letter, the credit union agrees to:
- 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.
The NCUA said it is working with the credit union to correct these issues. Violations of the LUA could result in civil financial penalties, cease and desist orders, removal and prohibition orders, or orders to liquidate, conserve or merge the credit union, the NCUA said.
The credit union will remain open and will serve its members while corrective actions are taken.
For the full NCUA release, use the resource link.