NORTH CHESTERFIELD, Va.–A group of people challenging the board elections at Virginia Credit Union said they will be holding a virtual protest when VCU holds its annual meeting today.
As CUToday.info reported here, the group has alleged the board election is “rigged” and favors board incumbents or those “hand-picked” by the board. There are three board seats up for election and three candidates, two of whom are incumbents.
Four people who sought seats on the board of Virginia Credit Union said their nominations were never even considered and they had gone to NCUA and the State Corporation Commission seeking to have today’s board election delayed.
“Member-owners of the credit union will be there to vote ‘Nay’ against these candidates, in protest of the VACU board's suppression of challenger candidates from running in the election,” said the group challenging the election in a statement.
The group noted a voice vote is required by VACU's bylaws for elections when only a single candidate is nominated for an open office.
“Ordinarily these actions would take place in a WebEx closed to the public with few members in attendance,” the group said.
Plans Call for Live Stream
To encourage member-owners to attend, and to enable the public to see the need for new state legislation providing credit union election reform and “creation of a members' bill of rights,” the group of VACU members said they will be live-streaming the closed meeting and have invited state legislators, voting rights activists and the press to attend a Zoom watch party.
As CUToday.info also reported, in September 2021 four “reform” candidates filed the required paperwork to run for the board. Frank Moseley, Kati Hornung, Richard Walker, and Tori Jones all said they received no response or interview opportunity with the board's nominating committee, even though they met all the requirements.
“VACU Board Chair Robert Jones chooses each member of the board nominating committee and is also one of the three candidates expected to be re-appointed (today),” the group said in its statement.
The meeting and related events on the part of the group protesting the election can be viewed here beginning at 3:30 p.m. The annual meeting begins at 4 p.m.
Regulator Response
On March 9th, candidate Frank Moseley filed a complaint with NCUA, which in response to a question from CUToday.info said it had referred the matter to Virginia’s State Corporation Commission’s Bureau of Financial Institutions, as the CU is state chartered.
The group shared this response from NCUA Eastern Regional Director Frank Kuchy.
Meanwhile, a spokesperson for the Virginia regulator said in a statement to CUToday.info, “The Bureau of Financial Institutions cannot provide information about specific complaints that it may receive due to confidentiality requirements under § 6.2-101 of the Code of Virginia. As a general matter, the Bureau’s standard process when it receives a complaint is to gather information about that complaint and review such information to determine if further action is appropriate.”
On March 22 the group said they sent a petition to the VACU board demanding the CU delay the election and “announce a free and fair election later this spring with all candidates able to run.”
"So disappointed to see that an owner co-operative does not follow democratic principles,” said Susan Miller, a VCU doctor, in a statement distributed by the group, which is primarily made up of community activists. “I’ve had my money and mortgages at VACU for 35 years."
Credit Union Responds
In response to an inquiry from CUToday.info, a spokesperson for Virginia Credit Union said, “Virginia Credit Union has an established governance process, defined in our bylaws, for the election of members to its board of directors. Virginia Credit Union's board followed these procedures consistently in nominating candidates for the board of directors ahead of the 2022 Annual Meeting. We respectfully disagree with claims questioning the credit union's election procedures. The board has followed its established process.”