WASHINGTON–The Independent Bankers Association of America issued a statement calling a court decision to dismiss its lawsuit against NCUA “deeply disappointing.”
The bankers’ trade association had filed the suit challenging NCUA’s recently approved rules that expanded credit union member business lending authority. That suit has now been dismissed by courts, as CUToday.info reported here
“ICBA is deeply disappointed in today’s decision from the U.S. District Court for the Eastern Division of Virginia granting the NCUA’s motion to dismiss ICBA’s lawsuit challenging the NCUA’s commercial lending rule,” said ICBA President and CEO Camden R. Fine in a statement. “If the decision stands, tax-exempt credit unions will be permitted to exceed Congressional limitations on commercial lending activity under relaxed regulatory oversight, thereby posing a tangible threat to community banks, consumers and the financial system at large.
“Along with our counsel, we are evaluating the decision and our options,” Fine continued. “Regardless of today’s decision, ICBA will continue to pursue efforts to level the tax and regulatory playing fields between community banks and credit unions through all appropriate avenues.”