Press
CUNA General Counsel and EVP Eric Richard on NCUA latest lawsuit against big bank to recover corporate losses
(December 23, 2014) — On Tuesday, the National Credit Union Administration announced its latest legal action, this one against Well Fargo bank, alleging the bank has failed to fulfill its duties as trustee for 27 residential mortgage-backed securities trusts. The agency is suing in its capacity as liquidating agent for five failed corporate credit unions. CUNA General Counsel Eric Richard issued the following statement:
“We are gratified the agency continues to take efforts to lessen losses to credit unions. We have been encouraging NCUA to take all reasonable actions necessary to maximize recoveries from the institutions that were responsible for the events that contributed to the corporate failures. Ultimately, we are hopeful that credit unions will share in the fruits of these efforts when the liquidations of the corporates is complete and all funds owing to the Treasury have been repaid.”