U.S. District Court Judge Emmet Sullivan yesterday dismissed a lawsuit by the leaders of Kappa Alpha Psi FCU challenging the NCUA's liquidation of the credit union.
The credit union had alleged that the NCUA "intentionally attempted to summarily liquidate and revoke the chapter of KAPFCU with total and reckless disregard for the truth." And the NCUA countered that the judge lacked the authority to overturn the liquidation.
The NCUA had justified its liquidation in August by saying that the Texas-based credit union was inadequately capitalized and there were no prospects for it returning to financial health.
Continue Reading for Free
Register and gain access to:
- 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
© 2024 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.
