INDIANAPOLIS–NCUA said it has liquidated Indianapolis’ Newspaper FCU and assigned most of its shares to Elements Financial FCU.
In January, NCUA conserved the then $6.604-million Indianapolis’ Newspaper FCU, which had 1,155 members. INFCU serves various select employee groups in the greater Indianapolis area.
Indianapolis’ Newspaper FCU showed a whopping loss of $852,232 on its Sept. 30, 2020 call report, with NCUA saying it made the move at the time “because of unsafe and unsound practices at the credit union.”
The agency said it has retained a portion of Indianapolis’ Newspaper Federal Credit Union’s shares. Members are being urged to contact NCUA’s Asset Management and Assistance Center to see if their shares have been retained.
NCUA further said it will retain all the Indianapolis’ Newspaper FCU’s loans and will use Statebridge Company to perform loan servicing.
INFCU was chartered in 1961 and had one office on South Meridian St. in Indianapolis. It is the first federal CU liquidation of 2021.
The $2-billion Elements Financial has more than 116,000 members.
NCUA said Elements Financial FCU expects no interruption in services for the new members.
NCUA said it made the decision to liquidate INFCU and discontinue its operations after determining the credit union was insolvent and has no prospect for restoring viable operations on its own.