LOUISVILLE–Two credit unions have announced investigations over alleged thefts have been launched.
Authorities are alleging a theft from member accounts at Louisville Metro Police Officers Credit Union. The police department itself is investigating the alleged crime.
The Louisville Metro Police Department issued a statement saying it had been contacted by the credit union to file a criminal report related to theft, according to WAVE 3 News. Police have declined to say how much money is involved.
WAVE 3 News reported that LMPD sources indicated the allegations involve fictitious accounts set up in officers' names. WAVE 3 News further reported that it had confirmed with the credit union that Vice President Josephine Crowe had been suspended, but did not confirm if there was a tie to the allegations.
Louisville Metro Police Officers CU said it is working with members to ensure accounts are accurate.
Meanwhile, in Tallahassee, Fla., Florida State University Credit Union said it has fired a longtime employee after discovering an alleged embezzlement of $825,000 over a three-year period.
According to FSU CU and the Tallahassee Democrat, the credit union said it expects charges will be filed against Kevin Lee, a former lending director with the credit union. The Florida Department of Law Enforcement has confirmed it has an open investigation into the matter but did not release further information.
According to the FSU CU, it learned of an account discrepancy on Nov. 12 and then launched an internal investigation, discovering in the process that 24 accounts had been compromised. Lee was fired later that day, the credit union said, adding it is working to restore missing money to affected member accounts. FSU CU also “recovered $75,000 of the total taken before Lee could (allegedly) spend it,” according to the Tallahassee Democrat.
“Our overarching mission and priority is to maximize our members’ financial well-being and ensure the protection of every dollar in their accounts,” said Bradley Blake, president and CEO of the credit union in a statement to the Democrat. “We will not let this egregious act by one individual deter us from our commitment to remain a trusted and safe place for members to conduct their financial business, as we have been for more than 60 years.
According to the publication, Lee was an employee of FSU CU for more than 11 years and has admitted to the theft during a meeting with his attorney and credit union officials. Lee is being represented by Eric Abrahamsen.