Federal Authorities Shut Down Small New London (CT) Credit Union

[Pale Blue Dot]

Source: The Day.com

New London - A local credit union that traces its roots back to the Great Depression when Jewish merchants couldn't find banks to loan them money has been shut down, federal authorities said Tuesday.

The New London Security Federal Credit Union, with only $12.7 million in assets, became the eighth credit union in the country shut down by federal authorities this year - and the first in Connecticut.

The closure occurred Monday, the same day that Edwin F. Rachleff of New London, an 82-year-old broker with A.G. Edwards who handled the credit union's investments, committed suicide by jumping from the Mohican Senior Apartments.

Federal regulators declined to provide details on the credit union's closure, including any possibility of a connection to Rachleff's death.



Read more: http://theday.com/re.aspx?re=b3d87856-4f80-4961-bc74-185049b5fd85

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Distraught people jumping for the rooftops after a bank fails. Where have I heard this before?

[truedelphi]

1. Only the top inner circle of banks in this country can receive funds from

The stockpile of monies that are posted at low interest rates.

So the bigger banks like Bank of America and Wells Fargo can insist that the smaller banks be "investigated"

Then when those smaller banks do not show the same level of profitability that the large banks have (How can they - they are paying more for their money than the larger banks?) get investigated, they can be proven to not have the credit worthiness/profitability of the large banks.

And then they are shut down or bought out.

But when the Big Boys in the banking group are in trouble, we bail them out!! (Consider Citibank!)

[sofa king]

4. Michael Ruppert claims that the big-bank money is drug money.

Which is why it comes with such low interest rates in the first place, 'cause it's bloody.

[Hestia]

6. Along with Michael Ruppert, Catherine Austin Fitts said back

in 2004 that there would be a manufactured mortgage crises - how? Find a few shady mortgage brokers, pay people to go and apply for mortgage loans that they had no business applying for, get the loans, and let the house go back to the bank. Why? to launder drug money. All other avenues had been shut down and mortgage loans was about the only one left. It is on a C2C program May-Aug 2004. You can go stream it and listen to. She nailed it way back then.

[truedelphi]

7. I love me myCatherine Austin Fitts.

And the Repugs cannot complain abt her - she started out as one of them.

Of the old school of Republicanism. But when too much Federal Government money kept going missing - she smelled something fishy and had to resign.

[jwirr]

5. Dog eat dog and no regulations to prevent any of it.

[OKthatsIT]

2. 82yr old suicide? An excuse to go after credit unions?

Watch out...the FEDS will run their own 'self-serving' scheme.

[Hugin]

3. No mention of total liabilities?

365 members and $12.7 Million in assets (Probably mostly it's real estate and offices).

Okay, I'm going to hold the tin foil hat session for later, but, I'd be really interested in why someone
would want this Credit Union out of the way so badly... Particularly, in CT. Home of the Privatized Imminent Domain/Bankruptcy Act of 2000-wheneveritwas.