✅ As noted in yesterday's post [link to 7/27/2023], three major concerns were discussed with the Administrator of Credit Unions about the SECU Board's apparent indifference to N.C. State laws, Credit Union Division rules and regulations, and the SECU bylaws, which require state agency approval.
You may not be aware - but hopefully are happy to learn! - that North Carolina credit unions are heavily regulated and closely supervised. That's a good thing, because loosey-goosey compliance, inattentive leadership, and weak management can adversely and severely impact millions of trusting individuals in North Carolina. The laws, regulations and bylaws are there for a good reason. Obeying them is not optional.
✅ The discussion with the Administrator suggested informally alerting SECU of the non-compliance and asking for prompt correction. That approach apparently worked, as SECU immediately began republishing financial statements for members, as required by the law. While we wait to hear back from the Administrator on the other two issues, let me give you a heads-up on the critical problem #2 - the New Election Procedures ("unanimously" adopted by the SECU Board in April, 2023 - that's right just 3 months ago).
✅ SECU Board New Election Procedures [here's your link] - There are many inanities, much hubris, and lots of ridiculously silly overreach in this document - which seems to accurately reflect "this Board's" opinion of itself and its low level of respect for the membership. But, we'll look at some of that "stuff" later if we have time. For now focus on the following:
"6. Self-nominations. Self-nominations may be made only by those who sought, but did not receive, nomination by the Nominating Committee. For a self-nomination to be valid and be included on the ballot, the member must have submitted a completed Candidate Package for consideration by the Nominating Committee by the deadline in the current year Election Procedures Schedule."
The Credit Union Division approved SECU Bylaws state specifically that the only qualification for an SECU member to serve on the SECU Board is that the member be 18 years old and willing to serve - period! In fact, in the New Election Procedures "this Board" clearly acknowledges that truth. Here's the direct quote:
"PREREQUISITES: Must be a member of SECU (18 years of age or older), be capable of attaining the knowledge and abilities described above, and have sufficient volunteer time to devote to the duties of the position."
✅ So stick with me here because it's really simple if you take it slowly. While the Nominating Committee (or "this Board") may have the right to invent all sorts of hurdles and faux "requirements" they wish to use in screening the slate of candidates "they" will choose to nominate, neither the Nominating Committee (nor "this Board") have the authority to prohibit any member 18 years or older from self-nominating - which is the only prerequisite as "this Board" clearly acknowledges.
Requiring any eligible member who wishes to self-nominate to be screened by the Nominating Committee (BTW, just invented this year by "this Board"!) is in clear violation of the SECU Bylaws. Even "this Board" is - and should be - required to follow the SECU Bylaws.
The SECU Board election cycle is already underway. If the legitimacy of this election (and the reputation of SECU) can be salvaged, quick action is required.
Let's hope to hear soon how this mistake and breach in trust has been "informally" resolved in the best interest of 2.7 million folks all across North Carolina.
You would think with 3 lawyers on "this Board"... oh never mind.