UPDATED: NCUA chairman responds to report, now public, about misconduct allegations at agency

Report alleged violations including misuse of official time, time/attendance fraud

An Office of Inspector General (OIG) report addressing allegations of potential harassment within the federal credit union regulatory agency describes activities that are “unacceptable and do not represent the values of the agency,” the chairman of the regulator’s board said Friday.

The OIG report was posted late Friday, without notice, on the agency’s website (see the link below). It outlines alleged violations in the agency’s office of general counsel listed as “Misuse of Official Time, Illegal Drug Use, Time and Attendance Fraud.”

Rodney Hood, chairman of the National Credit Union Administration (NCUA) Board, said in his statement that allegations of misconduct, “including allegations of behaviors that may have constituted harassment,” came to light in November 2019 and were immediately reported to the agency’s OIG. “Because the accusations involved possible abuse of work time, the Inspector General opened an investigation. The resulting investigative report was issued to the NCUA Board in February 2020,” he said.

Hood said he was “surprised and disappointed” upon learning of the activities described in the report.

“Ensuring a professional work environment for all employees is a top priority,” Hood said. “The NCUA is evaluating the organization’s policies and processes for reporting allegations and is taking additional actions. These actions include requesting the NCUA Board create an Office of Ethics Counsel, supplementing our existing anti-harassment training programs, and offering additional third-party counseling services to employees.”

He added, “Harassment and misconduct have no place at the NCUA. These types of behaviors are unacceptable and will not be tolerated. The agency is committed to creating a culture where we treat every employee with the utmost respect and dignity.”

A report by CUToday.info Friday says that publication had submitted a Freedom of Information Act (FOIA) request for the report.

Chairman Hood’s Statement on the Recent Inspector General Investigation

Report of Investigation No. 20-01 Michael McKenna and Lara Daly-Sims, Feb. 10, 2020