ALEXANDRIA, Va. (June 30, 2022) – The National Credit Union Administration issued two prohibition orders and a cease-and-desist order in June.
Order of Prohibition:
- Carolin Lopez, a former employee of 1st Bergen Federal Credit Union, Hackensack, New Jersey, agreed and consented to the issuance of a prohibition order and agreed to comply with all its terms to settle and resolve the NCUA Board’s claim against her.
- Stephanie Simontacchi, a former employee of Redwood Credit Union, Santa Rosa, California, agreed and consented to the issuance of a prohibition order and agreed to comply with all its terms to settle and resolve the NCUA Board’s claim against her.
Order to Cease and Desist:
- Inter-American Federal Credit Union, Brooklyn, New York, agreed and consented to the issuance of a cease-and-desist order to address certain supervisory concerns raised by the NCUA’s Eastern Regional Office.
Administrative orders are formal enforcement orders issued by the NCUA pursuant to Section 206 of the Federal Credit Union Act. Generally, the NCUA issues administrative orders when it finds that a credit union or persons affiliated with a credit union have violated a law, rule or regulation, breached a fiduciary duty, or engaged in an unsafe or unsound practice.
The three most common orders issued by the NCUA include:
- An Order to Cease and Desist, which requires a party to take action (or refrain from taking action), including making restitution;
- An Order of Prohibition, which prohibits a party from ever working for a federally insured depository institution; and
- An Order Assessing Civil Money Penalties.
NCUA also issues Notices of Prohibition, which is a notification that a person has been convicted of a criminal offense involving dishonesty or breach of trust and is barred from working for a federally insured depository institution by operation of law.
Agency enforcement orders and notices are searchable by name, institution, city, state, and year at the NCUA’s Administrative Orders webpage. The webpage also provides links to the federal enforcement actions of federal banking agencies against other institutions or their affiliated parties.
The public may view NCUA enforcement orders online or the public may order copies by mail from the NCUA at 1775 Duke Street, Alexandria, Virginia 22314-3428.