WASHINGTON — In a widely expected move, a federal judge yesterday entered a remedy allowing three Harrisburg, Pa.-area credit unions to keep their new members but not recruit additional ones in their expanded field of membership.

U.S. District Judge Yvette Kane agreed to the remedy, which had been agreed to the NCUA and the American Bankers Association as a result of her July decision in a lawsuit filed against the NCUA by the ABA. She also ordered the case to be closed and the originally community charters granted to be vacated.

The remedy was proposed by the ABA in a court filing last month and in a filing last week, NCUA said it accepted the ABA proposal and the two sides had agreed to include in the agreement a provision allowing household and family members to join a credit union based on their relationship with a member at the time of the original NCUA decision.

In July, Kane ruled that the NCUA had acted in an “arbitrary and capricious manner” and ignored contrary evidence when deciding to grant Members First Federal Credit Union a community charter. The agency, granted the other two credit unions, Americhoice Federal Credit Union and New Cumberland Federal Credit Union, community charters after its Members First decision.

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