NEW YORK (9/27/10)--A retired police officer who headed a company that provided cash to financial institutions and ATMs pleaded guilty conspiracy to commit bank and wire fraud by using the float on banks and credit unions' cash to pay his company's overhead and expenses (New York Daily News Sept. 16 and PaymentsSource.com Sept. 23). Robert Egan, 65, president of Mount Vernon Money Center in New York, faces up to 15 years in prison. He and the company's chief operating officer, Bernard McGarry, 50, were arrested in February for defrauding credit unions, banks, retailers, hospitals and universities out of $50 million. Instead of segregating cash for each client, they allegedly commingled the funds by taking cash in the vault, regardless of its source, to fill the next day's ATMs (News Now May 24). The company supplied cash to more than 5,300 ATMs, including those of Cardtronics, which reported in a filing with the Securities and Exchange Commission that the theft cost it $2.1 million and shut down nearly 4% of its ATMs. The fraud hit several credit unions, including New York Actors FCU, Northeast Alliance FCU, ADP FCU, and Atlanta's Delta Community CU. The credit unions lost a total of $5.8 million. New York-area banks and credit unions used the company to stock thousands of ATMs, while universities and hospitals employed it to help cash employees' paychecks.