ALEXANDRIA, Va. (6/3/13)--On Friday, the National Credit Union Administration announced the liquidations of $1.6 million-asset NCP Community Development FCU (NCP) of Norfolk, Va. and of $59.7 million-asset First Kingdom CU of Selma, Ala., bringing the total number of closing for the year to nine.
In Virginia, Chartway FCU, of nearby Virginia Beach, Va., assumed NCP's member shares. Chartway is a federal credit union with more than 188,000 members and assets of $1.9 billion.
Back in February, the NCUA placed NCP into conservatorship, an act taken to bolster the credit union's financial stability and operations. However, the agency subsequently decided the credit union was insolvent and had no prospect for restoring viable operations.
NCP served 709 members and was chartered in 1999. It served "certain underserved communities" in Norfolk, Chesapeake and Portsmouth, Va., the NCUA said.
In Alabama, Riverdale CU, also of Selma, immediately assumed First Kingdom Community FCU's member shares, thereby assuring uninterrupted service for the 76 former First Kingdom Community members. Riverdale is a federally insured, state-chartered credit union with assets of $59.7 million and which serves 8,360 members.
First Kingdom Community had been placed into conservatorship in May 16, but the NCUA said it made the decision to liquidate after determining this was the best course of action for continued member service.
The small community-chartered credit union was established in 2007 to serve people who live, work, worship, or attend school in, Dallas County, Ala.; businesses and other legal entities located in the county; spouses of persons who died while within First Kingdom's field of membership; employees of the credit union; volunteers in the community; members' immediate family or household; and organizations of such persons.