SOUTHFIELD, Mich.–Credit union directors have in a multitude of cases missed embezzlements by management in their credit unions, including most recently in this state where a former CFO has allegedly confessed to taking more than $20 million over a 12-year period.
As part of its Spring Leadership Development Conference, the Michigan Credit Union League said it has added to the meeting’s agenda a session titled “Embezzlement: What it Means to Board Members.” The session will be led by John Kolhoff, director of the Department of Insurance and Financial Services’ Office of Credit Unions. Kolhoff will review the fiduciary and regulatory responsibilities for boards to provide an appropriate internal control structure, including independent assessment of compliance through a reasonable audit program. The league said Kolhoff will also address questions and what a board’s failure to meet these responsibilities can mean for board members.