Former CEO of Everglades FCU barred by NCUA

A prohibition order barring Linda S. Pelham, a former CEO of the $35.5 million-in-assets Everglades Federal Credit Union in Clewiston, Fla., from future service in any federally insured financial institution was executed Jan. 14 and announced Thursday by the National Credit Union Administration (NCUA).

In a related stipulation and consent order signed by Pelham and NCUA, the agency says it believes Pelham, among other things, engaged in and/or directed others at the credit union to engage in improper conduct involving a Notice of Freeze and/or Notice of Levy related to the business accounts of her personal friend (who was, and whose businesses were, members of the credit union); improperly permitted the same friend (who was not an employee or officer of the credit union) to make charges on Pelham’s credit union corporate credit card; and created a conflict of interest between her own personal financial interests (and those of one of her family members) and the interests of the credit union. Her conduct “caused financial and/or other damage” to Everglades Federal Credit Union, NCUA stated.

Pelham agreed to satisfy all the terms of the prohibition order to resolve these claims, the agency said.

Violation of a prohibition order is a felony offense punishable by imprisonment and a fine of up to $1 million.

Prohibition order