Is it too late?

PREDICTION

Several months, shortly following our first publication, we received an email from a reader, who based on his analysis of Priority One Credit Union's Monthly Income Statements, announced the forthcoming demise of the once prospering organization. 

Earlier today, we received a second email from the same reader, who pointed to the credit union's increasing delinquencies which in recently months, increased from $4 million to $5.9 million. The reader foresees *higher future losses" over the next 4 to 6 months. The credit union's financial statements disclose that delinquencies not exceed 4.75% which is substantial for a medium-sized credit union.

Our warnings, published over the past 9 months, have pointed to President Charles R. Wiggington, Sr. and the Board of Directors as the cost of Priority One's ongoing losses. The reader's assessments were correct. 

Anyone who cares about Priority One's future as a business and employer should be concerned. The worst case scenario could be the eventual closure or merger of the credit union which would be preceded by a take-over by the NCUA. 

It's clear, President Wiggington doesn't view himself as a problem. In fact, since 2007, he continually finds victims to are blamed for his failures. His ability to dodge accountability has been enabled by Board Chair, Diedra Harris-Brooks, who has single-handedly preserved his employment, tried to cover-up evidence of the Presidents violations of policy and state and federal laws, and who has used credit union funds to hide his abuses. It's quite incredible that the Chair who is responsible for ensuring the upward direction of the credit union is also the one person who is most contributing to Priority One's decline. 

At no time, since the credit union's founding in 1926, has any President ever conducted himself so incompetently. No other President has willingly immersed himself in embarrassing scandals or injured employee morale. President Wiggington has constantly demonstrated his disdain for policies and laws and has publicly exacted his will to satisfy his personal agenda. He has also revealed an addictive penchant for malicious gossiping and plotting against staff. 

Last Friday we received two more emails, both disclosing that the President is going to again address the subject of escalating losses. He will again talk about his alleged efforts to reduce spending, reducing staff size, replacing full-time staff with part-time staff, and reducing the marketing and business development budgets. There is a reason why the President frequently chooses to talk about his so-called remedial efforts to reverse the credit union's ongoing losses prompting us to wonder if he's being forced to do so by the Board of Directors. 

Despite his frequent assurances, we've yet to witness an actual reversal of Priority One's misfortunes. After all, its Charles R. Wiggington, Sr. who created the dynamic of loss currently afflicting the credit union. So why would we believe that the cause of Priority One's financial problems is going to be the person to resolve those same problems?

TAXING EMPLOYEES

The President has also unveiled another plan designed to further reduce spending (has he actually reduced spending?).  The plan asks employees not to work once or several days a month, without pay. The President; AVP, Rodger Smock; and COO, Beatrice Walker, assert this will give employees more time to spend at home with family, maybe enroll in a class, travel, etc. Of course, all without being paid. Has it not occurred to the three overpaid officers that enrolling in school, traveling and even spending time with family, costs money? Did they ignore that non-exempt staff have families to support, rent to pay and food to buy. If as the President insists, Priority One's problems are caused by the national economy, then wouldn't that same economy be affecting every employee at the credit union?

The President is paid an undeserved annual salary of $150,000 plus. Mr. Smock owns rental properties and unlike President Wiggington, owns a nice home in Echo Park, California. 

Mr. Smock and Ms. Walker have said that if employees refuse to give up days each month, the credit union could be forced to implement lay-offs. Please note that no one in management is voluntarily requesting a temporary cut in pay. 

The President's solution is self-serving and comes at a heavy cost to non-exempt personnel. It adds a financial burden to most employees, something that has no impact upon the salaries of any of the managerial sector.

In his desperation to stop the cycle of financial depletion impacting the credit union, the President is forging solutions that continue to come at a heavy financial cost to non-exempt staff members. Furthermore, his solutions will not affect his salary or how he lives. His solutions are a win-win, but only for him and all executive staff. 

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