ALEXANDRIA, Va.–NCUA has issued two prohibition orders in July. The two individuals are prohibited from participating in the affairs of any federally insured financial institution.
Issued the orders were:
- Audrey Elkins, a former manager of William Newton Memorial Hospital Credit Union, Winfield, Kan., who agreed and consented to the issuance of a prohibition order and agreed to comply with all its terms to settle and resolve the NCUA board’s claim against her. Elkins was indicted in September of 2020 for allegedly embezzling almost $599,000 from the credit union. Elkins, 42, was charged with one count of embezzlement for allegedly creating fictitious loans and converting the money to her own use, according to the U.S. Attorney’s Office in Wichita. The crime is alleged to have occurred between November 2010 to November 2017. If convicted, she could face a penalty of up to 30 years in federal prison and a $1 million fine.
- Richard Franco Arceo, a former employee of White Sands Federal Credit Union, Las Cruces, N.M., who agreed and consented to the issuance of a prohibition order and agreed to comply with all its terms to settle and resolve the NCUA board’s claim against him.
Formal Orders
NCUA noted administrative orders are formal enforcement orders issued by the NCUA pursuant to Section 206 of the Federal Credit Union Act. Generally, NCUA said it issues administrative orders when it finds that a credit union or persons affiliated with a credit union have violated a law, rule or regulation, breached a fiduciary duty, or engaged in an unsafe or unsound practice.
The orders can be reviewed on NCUA’s Administrative Orders webpage.