WILKES BARRE, Penn.—VAntage Trust Federal Credit Union may have to vacate its branch on Department of Veterans Affairs land if the federal government gets its way. The government is attempting to evict the $57-million, the Citizens’ Voice reports. The CU has four other locations.
According to a complaint filed the U.S. Attorney’s Office, the credit union has outstayed its lease and has refused to vacate the premises despite being informed nearly a year ago that it was no longer welcome, the newspaper stated.
According to the complaint, the credit union got a license to build a branch on about two acres of government land at 881 Mundy St. in 1995, with the license expiring in September 2011.
The credit union paid no rent because its membership consisted of at least 95% of current or former federal employees and their families. But the credit union no longer meets the 95% requirement established in federal law, according to the complaint. Regardless, the lease has already expired, the complaint says.
The complaint says the credit union was ordered to vacate the property in April 2016 after “unsuccessful discussions” about the lease, and that VAntage continues to “maintain unauthorized use and occupancy” of the property. The credit union has also refused to restore the site to the condition it was in before the occupancy, according to the complaint, the Citizens’ Voice reported.
The lawsuit seeks to have VAntage evicted from the property. It also asks for an order for the credit union to restore the property and to pay legal costs.
In May 2015, the VAntage branch on the second floor of the Veterans center was abruptly closed after Department of Veterans Affairs officials alleged a 2003 membership expansion put the credit union’s federal employee membership numbers below what is required for it to keep operating on federal property. However, the CU has previously argued the institution is not required to maintain membership of 95% current or former federal employees and that it is willing to pay to rent the property, the Citizens’ Voice stated.