Former CEO of credit union embezzled $ 2 million, federal prosecutors say
As of May 2017, five months after becoming president / CEO of a Pennsylvania credit union, Stacey Shaw opened IBEW Local Union issued credit cards 712 FCU and reportedly made over $ 2 million in fees and cash advances until March 2020, according to the federal government. prosecutors.
Court documents filed Monday by prosecutors in the U.S. District Court in Pittsburgh charge Shaw with one count of embezzlement from a federal credit union and two counts of failure to file tax returns federal.
Last May, the NCUA liquidated IBEW Local 712 FCU for $ 7.6 million. in Beaver, Pa., which received its charter in 1964 and has served nearly 3,000 members. The $ 24.9 million West Penn P&P Federal Credit Union, also of Beaver, immediately assumed the assets, membership shares and loans of IBEW Local 712.
Federal prosecutors do not say in court documents how the embezzlement was exposed, how Shaw allegedly concealed the theft, or how she allegedly spent the credit union funds.
Shaw has yet to be brought to justice on the charges, and no attorneys representing Shaw are on the federal roll.
Federal prosecutors are also accusing Shaw of failing to file federal income tax returns on cash advances she allegedly received from credit cards which totaled $ 589,222 in 2018 and $ 1,085,549 in 2019.
Court documents show Shaw allegedly embezzled a total of $ 2,099,437.
In March 2020, the credit union recorded a loss of $ 2.3 million, according to NCUA financial performance reports.