Stuart Perlitsh, president/CEO of the $338 million Glendale Area Schools Federal Credit Union, called foul on WesCorp President/CEO Phil Perkins' recent criticism of credit unions suing current and former WesCorp employees and volunteers.
Perkins commented on the suit during Wednesday's member Webcast, saying because WesCorp operates on an NCUSIF-guaranteed retained deficit, any insurance costs or damages suffered by the bankrupt corporate would come out of the pockets of federally insured credit unions.
Perlitsh's GASFCU is one of the suit's seven plaintiffs. The Southern California CEO called Perkins' comments "classic misdirection," saying WesCorp officials called out plaintiffs in an attempt to "divert attention away from the lawsuit's valid complaints" of negligence and breach of fiduciary duty.
"Let me be clear," Perlitsh said. "The $500,000 expense is chump change relative to the $2 billion in natural person credit union capital that has been depleted."
Perkins and "his NCUA handlers" would instead be better served "coming completely clean about what transpired at WesCorp," Perlitsh said, including owning up to the regulator's mistakes.
Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.
Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking credit union news and analysis, on-site and via our newsletters and custom alerts
- Weekly Shared Accounts podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the commercial real estate and financial advisory markets on our other ALM sites, GlobeSt.com and ThinkAdvisor.com
Already have an account? Sign In Now
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
