While the NCUA has continued to enhance its examiner training, the agency declined to identify any procedural changes made to the examination process since the failure of Taupa Lithuanian Credit Union in Cleveland, Ohio in July 2013.
JeanMarie Komyathy, director of risk management in the NCUA's Office of Examination and Insurance, said she was not able to elaborate on the red flags examiners are required to address during the process.
The NCUA's Office of Inspector General determined that NCUA examiners and the Ohio State Supervisory Authority could have reduced or mitigated the failure's $33.5 million loss to the NCUSIF. The OIG concluded that Taupa failed due to inadequate board oversight and inaccurate financial reporting, which raised red flags that the examiners missed.
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