CLEVELAND—The sentencing and penalties related to the failure of St. Paul Croatian CU here continue, this time with a northeastern Ohio man being sentenced to two years in federal prison for conspiring to defraud the credit union out of more than $3.7 million.
A Cleveland judge also ordered Sako Satka to pay the money back to NCUA, which shut down the CU in 2010.
The 66-year-old Satka pleaded guilty in June to conspiracy, bank fraud and to paying bribes to Anthony Raguz, the former CEO of the credit union.
Prosecutors said the Raguz, currently serving a 14-year prison sentence on charges connected to the case, used his position to approve numerous loans to Satka.
The collapse of St. Paul Croatian is the biggest-ever failure for the National Credit Union Share Insurance Fund at $170 million. More than a dozen other people tied to the credit union are currently in prison.