CU regulator prohibits four from financial institutions; one to pay nearly $1 million in restitution

A former employee of a credit union who pleaded guilty to embezzlement charges and was ordered to pay nearly $1 million in restitution has been prohibited from participating in the affairs of any federally insured financial institution, the federal regulator of credit unions said Wednesday.

The National Credit Union Administration (NCUA) said that prohibition, and three others, were issued by the agency in January.

NCUA said Catherine Linton, a former employee of Trailblazer Federal Credit Union in Washington, Pa., pleaded guilty to an embezzlement charge. She was sentenced to one year in prison, five years’ supervised release and was ordered to pay $979,596 in restitution.

Other orders and notices issued by the agency (prohibiting individuals from participating in the affairs of a federally insured financial institution) included:

  • Alisha Dawn Gill, a former employee or institution-affiliated party of Huntington C&O Railway Employees Federal Credit Union in Huntington, W.Va., who agreed and consented to the issuance of a prohibition order and agreed to comply with “all of its terms to settle and resolve the NCUA Board’s claims against her,” the agency said.
  • Amy Joan Raden, a former employee of Tahquamenon Area Credit Union in Newberry, Mich., who pleaded guilty to a charge of embezzlement and was sentenced to nearly nine months in prison, five years’ probation and ordered to pay $88,000 in restitution.
  • Debra L. Wenger, a former employee of Shelter Insurance Federal Credit Union in Columbia, Mo., who pleaded guilty to the charge of misappropriation of funds and was sentenced to time served and one year of supervised release.

NCUA, in a release, noted that violation of a prohibition order is a felony offense punishable by imprisonment and a fine of up to $1 million.

NCUA Issues Prohibition Notices

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