Three former credit union employees, including a loan officer who allegedly stole more than $900,000, were permanently banned from working at any federally insured financial institution, the NCUA said Thursday.
On Feb. 27, 2018, Brian Socha used a coworker’s computer to increase his HELOC credit limit from $135,500 – the amount of the original loan on his home – to $150,000, giving him more money to access.
Over the next five years, the former loan officer at the $329 million MassMutual Federal Credit Union in Springfield, Mass., increased his home’s HELOC credit limit incrementally 19 times to a total of $995,000. Additionally, he lowered the interest rate on the loan at least four times. The first reduction occurred March 22, 2019, when he cut the rate from 5.25% to 1.99%, according to documents filed by federal prosecutors in U.S. District Court in Springfield, Mass.
Socha signed a plea agreement with federal prosecutors in June, agreeing to plead guilty to one felony count of bank fraud and pay $902,541 in restitution.
Court hearings in his case are pending.
Ana Alicea, a former employee for the $252 million Greater Alliance Federal Credit Union in Paramus, N.J., entered a pretrial diversion program for the charge of theft, valued between $500 and $74,999, according to the NCUA. The amount of funds involved in Alicea’s case was not disclosed and the federal agency’s administrative order did not report whether she agreed to restitution.
Court filings showed the alleged theft occurred in February 2023.
In lieu of prosecution, she was accepted into the state’s pretrial diversion program, which is for first-time, non-violent offenders who receive education and training to prevent future criminal behavior. Charges are dropped for candidates who successfully complete the program, according to New Jersey’s supervision for pretrial intervention clients website.
Raul Villarreal, former employee for the $206 million Merco Credit Union in Merced, Calif., entered a conditional plea of guilty to one count of attempted grand theft by embezzlement in Merced County Superior Court on Nov. 13, 2024, according to the NCUA.
The federal agency’s administrative order did not report the amount of money, if any, that may have been involved in the attempted grand theft charge.
Merced County Superior Court criminal records are not available online.
Peter Strozniak can be reached at pstrozniak@cutimes.com.
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