Running Out of Track

Over the weekend, we reviewed Priority One Credit Union's misnamed "Career Opportunities" page which contains the following statement:

"Priority One Credit Union, A progressive $175 M credit union, is an equal opportunity employer. We offer competitive salary and benefits packages within a friendly team-oriented environment. We provide career growth opportunities for those that demonstrate the potential and have accepted the challenge of responsibility."

$175 million credit union? Not since Mr. Harris was President, has Priority One's Net Income approximated $175 million. As we reported previously, this past August the President wrote to the Board of Directors, stating that $10 million of the $20 million borrowed in mid-2008 from the credit union's line-of-credit would be paid by September 2009. In his statement, he also wrote that the payment would reduce Priority One's Net Income by $10 million. 

Reviewing the credit union's financial statements for the month ending September 30, 2009, confirms that in September, the credit union paid $10 million of the $20 million. This reduced their Net Income total to $168,211,115.34 which is approximately $7 million less than the $175 million references on their Career Opportunities page. 

What's more, there remains an unpaid balance of $10 million which means that their actual Net Income size is $158,211,115.34.  This means that they're actually worth $17 million less than what is stated on their Career Opportunities page. 

There are so many discrepancies between the statements contained on their website, the President's verbalizations which continually allude to growth and increasing success and what is stated in the credit union's Monthly Income Statements and their quarterly Financial Performance Reports filed with the NCUA. Clearly, the credit union is lying and exacting efforts to present a non-existent image of the credit union's actual standing. 

MORE OF THE SAME 'OL

Over the past two weeks, business and morale remained in decline, with President Wiggington once again, altering his behavior and donning an attitude of unconcern, even disinterest to  the credit union adverse financial climate 

The credit union also published the results of its recent election in the October 2009, newsletter. As we reported in previously posts, this was the second election to be conducted by the credit union in less than 10 months. The first electoral process was declared invalid when it was discovered the President and Board Chair derailed the election when they tried to minimize the number of members who would receive invitations to nominate themselves if they'd like to vie for a seat on the Board of Directors. or Supervisory Committee. 

Of course, after we exposed what the President and Board Chair had done, it was decided to hold a second election and avoid the filing of possible complaints against the credit union which could have resulted in state-ordered sanctions.

The election results were published on the front page of the newsletter, though inconspicuously tucked away at the bottom of the page. The font used to disclose the results is the same size as the font used in the disclaimer for the "Back-to-School" loan which appears at the top of the front page of the newsletter. Shown below, is a copy of the announcement published by the credit union:" 

Supervisory Committee Election Results for two (2) positions:

We want to express our thanks to the candidates who ran for a position on our Supervisory Committee. Cooperatives are built on the spirit of volunteerism and we certainly appreciate their interest in serving.

The results have been calculated and validated by an independent audit firm with the following results:

Ballots received 2,160; 67 of them were considered invalid. The final tabulation:

• Anna Smith - 1537 votes; 
• Lorenzo Ford - 1261 votes; 
• David Davidson - 722 votes; 
• Jeffrey Moses Chen - 565 votes

Congratulations to the top two (2) winners!

The top two winners are actually incumbents who have been re-elected to the Supervisory Committee. What the results confirm is that President Wiggington's and Board Chair, Diedra Harris-Brooks' tampering did affect the outcome. By accepting the nomination application for Jeffrey Moses Chen days after the deadline for submitting nominations, the two corrupt officers comprised the integrity of what should have been a free and unbiased election. Mr. Chen's nomination also diverted votes that would have gone to the other candidates who submitted their applications by the date when they were due. The President and Board Chair have acted reprehensibly and in a manner that reduced the probity of the electoral process. We believe the effects of what they've done will be reflected in how members respond to invitations that they nominate themselves to vie for a seat on the Board or Supervisory Committee. If Mr. Chen's application had not been accepted due to its late submission, Mr. Davidson probably would have won a seat on the Supervisory Committee. 

CONFIDENTIALITY

Over the past month, the President's persecution complex escalated to new heights. He recently disclosed that he knows, electronic surveillance equipment has been planted by unnamed employees throughout the credit union and so, will launch a new, more stringent campaign to flush out the "rebels" so that they may be terminated. He also revealed that he recently scheduled a meeting to discuss how to stop breaches of confidential information. The meeting was held at the home of AVP, Rodger Smock. Why wasn't the meeting held at Mr. Wiggington's alleged $1 million mansion? If the President wishes to find the source of leaks of confidential information, he need only look in the mirror. 

SEPTEMBER'S FINANCIALS

September's Monthly Income Statement is too long, so we've decided to only publish those actuarials we deem most important and telling about Priority One's actual financial standing. The report also contains a reference to monies spent on Lillestrand and Associates who were hired to assess employee personalities, strengths, interests, and also, help identify who the blogger, bloggers and who their accomplices are. 

The amount of $600.00 is referenced under Educational Expenses for Senior Management but the senior management sector has not participated in educational development, so what exactly was $600.00 spent on? 

The report also references that amount of $12,400.74 spent on the Annual Meeting but the annual meeting took place in May and we know $12,000,74 was not spent for the 30-minute meeting. So what exactly was purchased for $12,400.74?

We've indicated interesting and questionable references in RED font. We know that his current conflict with CFO, Manny Gaitmaitan, involves orders by the President that alter reporting to show high profits while decreasing the actual amount of losses. We find some of the references in the report suspicious and again, suggest an in depth audit to verify the accuracy of the financials being reported by the credit union. 

LOANS

$107,527,589.62

  

LESS: ALLOWANCE FOR LOAN LOSSES

$2,600,000.00

NET LOANS

$104,927,589.62

ACCOUNTS PAYABLE

$3,421,017,56

CASH

$3,987,568.48

INVESTMENTS

$49,980,089.36

INVESTMENTS IN COOP

$40,000.00

INVESTMENT IN FSCC

$24,000.00

NCUA DEPOSIT

$1,284.522.90

ACCRUED INCOME

$719.544.35

PREPAID EXPENSES

$436,707.40

ASSETS IN LIQUIDATION

$100,105.93

OTHER ASSETS

$0.00

SUB-TOTAL

$164,921,145.60

FIXED ASSETS

$9,272,516.22

LESS ACCUMULATED DEPRECIATION

$5,982,546.48

NET FIXED ASSETS

$3,289,969.74

TOTAL ASSETS

$168,211.115.34

LIABILITIES AND EQUITY

Accounts Payable

-$185,427.60

Notes Payable

$10,000,000.00

"Notes Payable" refers to the remaining unpaid balance due on the $20 million loan borrowed by President Wiggington in mid-2008 from the credit union's line-of-credit.

Accrued Expenses

$453,026.33

Other Liabilities

$10,272.05

Shares

$145,648,795.53

Total Liabilities

$155,926,666.31

EQUITY

Regular Reserve

$5,128,606.33

Undivided Income

$7,155,842.70

Total Equity

$12,284,449.03

Total Liabilities and Equity

$168,211,115.34

OPERATING INCOME

Interest on Loans

Month-to-Date

$521,655.40

Year-to-Date

$4,918.471.83

Income from Investments

Month-to-Date

$141,438.69

Year-to-Date

$1,312,562.71

Fees and Charges

Month-to-Date

$209,760.02

Year-to-Date

$1,883,712.63

Month-to-Date

$13,767.61

Year-to-Date

$198,499.39

Total Operating Income

Month-to-Date

$886,621.72

Year-to-Date

$8,313,246.56

OPERATING EXPENSES

Employee Salaries/Bonus

Month-to-Date

$329,521.29

Year-to-Date

$2,807.325.30

Branch Lease

Month-to-Date

$15,461.98

Year-to-Date

$139,419.11

Telephone Expenses

Month-to-Date

$28,383.12

Year-to-Date

$251,145.20

Equipment Maintenance

Month-to-Date

$35,189.37

Year-to-Date

$305,211.89   

Education Expense: Staff

Month-to-Date

$0.00

Year-to-Date

$11,307.88

Education Expense: Senior Mgmt

Month-to-Date

$607.93

Year-to-Date

$4611.08

Education: Supervisory Committee

Month-to-Date

$0.00

Year-to-Date

$9227.26

Education: Board of Directors

Month-to-Date

$0.00

Year-to-Date

$960.00

Training Expense

Month-to-Date

$847.16

Year-to-Date

$12,787.77

Advertising Expenses

Month-to-Date

$2878.20

Year-to-Date

$7329.70

Loan Promotions

Month-to-Date

$5513.15

Year-to-Date

$59,659.73

Promotional Items

Month-to-Date

$3013.08

Year-to-Date

$4977.64

Member Research

Month-to-Date

$0.00

Year-to-Date

$0.00 

Business Development Expense

Month-to-Date

$190.00

Year-to-Date

$3686.33     

Legal Expenses

Month-to-Date

$2980.38

Year-to-Date

$92,171.97

Audit Expenses

Month-to-Date

$3500.00

Year-to-Date

$45,820.80

Consultancy Fees

Month-to-Date

$20,791.24

Year-to-Date

$70,552.63

  

Provision for Loan Losses

Month-to-Date

$191,569.96

Year-to-Date

$2,382,121.29

NCUSIF Stabilization Expense

Month-to-Date

$0.00

Year-to-Date

$1,111,125.73

Interest on Borrowed Money

Month-to-Date

$53,375.85

Year-to-Date

$527,775.00

Annual Meeting Expenses

Month-to-Date

$12,400.74

Year-to-Date

$66,123.14

Board of Directors/Supervisors

Month-to-Date

$1003.20

Year-to-Date

$10,314.76

Branch Expenses

Year-to-Date

$0.00

Total Operating Expenses

Month-to-Date

$1,010,958.86

Year-to-Date

$10,803.511.43

Income (Loss) from Operations

Month-to-Date

-$124,337.14

Year-to-Date

-$2,490.264.87

Loss (Gain) on Disp of Investment

Month-to-Date

-$135.86

Year-to-Date

$711,862.09

NET (LOSS) INCOME

Month-to-Date

-$235,353.10

Year-to-Date

-$4,423.557.81

THE REAL STORY

The real story of Priority One Credit Union is not its decline, but the abherrent behaviors of both it's President and irresponsible Board who year after year, fail enact anything that produces upward mobility. Instead, this rabble of incompetents has chosen to focus on gossip, slander, cheating, lying and subverting the credit union's once excellent reputation. 

We of course, invite the President or any member of the Board to provide evidence of what they've accomplished that has made Priority One a better, stronger, and more prosperous credit union. 

The President's so-called cost-saving agenda is designed to freeze employee wages, reduce benefits and abort the opportunity for promotions. And while his agenda negatively impacts non-exempt personnel, the President continues to waste money on his frivolous, poorly planned enterprises. 

Last year, he obtained approval form the Board to purchase a $600,000 telephone system which since its installation, has been plagued by technical issues.  In 2008, he declared that the new phone system would serve in lieu of creating a call center. A little more than one year later, the President and COO are planning on installing a call center because of the technical difficulties affecting the phone system. 

A few weeks ago, the Board authorized the hiring of Lillestrand and Associates who were to administer tests of all non-exempt employees to obtain a record of their interests, likes and dislikes and strengths. According to Loren Lillestrand, the information would be used to place employees in positions where there likes could be used to realize the credit union's business goals. Mr. Lillestrand has been paid more than $25,000 and the information he provided has not been utilized because what the President wanted was for Mr. Lillestrand to identify rebel employees who the President believes are trying to topple his authority. 

We located the following article by Chris Penttila, titled, "Rethinking CEO Salaries." So far, President Wiggington's solutions don't demand anything from the management sector. His purported solutions don't require that he or his executive staff sacrifice anything that could reduce their salaries and benefits. Charles R. Wiggington,. Sr. may not be bright or prudent but he is unscrupulous. Here is Chris Penttila's article:

RETHINKING CEO SALARIES

Pay-for-performance structures are enjoying a resurgence.

Last September, Mission Research formed a compensation committee to discuss capping executive pay and by how much.

Charlie Crystle, co-founder of the 35-employee Lancaster, Pennsylvania, software company, would like to see executive pay limited to seven times the company's median salary, which hovers around $60,000. Mission Research generated $3 million in revenue last year. "We're trying to figure out the right mix of goals and bonuses for our executive team," says Crystle, 41. "It's part of our growing up and becoming a real company." Mission Research plans to implement a new compensation structure early this year.

It's a timely move given recent public rage over executive pay. Anger has been simmering for years, but it boiled over last fall amid the taxpayer-funded bailout of the financial sector. Watching CEOs glide away from failed companies with multimillion-dollar severance packages has the public questioning with renewed vigor whether corporate executives are worth what they're paid....

Congress is considering a variety of measures, including pay caps on public companies and "say on pay" legislation that lets shareholders vote on executive pay packages.

The pressure on improving pay for performance will be immense over the next couple of years," says Paul Hodgson, a senior research associate at governance research firm The Corporate Library. Topping its most recent CEO pay survey is Oracle CEO Larry Ellison, who made almost $193 million last year and incited shareholder anger when he received a 38 percent pay increase.

Some CEOs are voluntarily limiting their pay. Since 2004, at least 62 CEOs have signed agreements accepting cuts in pay or forgoing severance packages when times get tough, according to The Corporate Library. The list includes H&R Block CEO Russ Smyth, who has agreed to a pay cut if the company hits tough times. JetBlue Airways CEO David Barger, meanwhile, accepted half pay last summer when the company instituted a hiring freeze."

Don't  expect President Wiggington or any of his overpaid executive sector to sacrifice a portion of their salaries or benefits. None are invested in the credit union's well-being and President Wiggington is an opportunist who will manipulate policies and laws to ensure that his salary, benefits and perks remain unaffected by declining business. 

Hiding Facts and Pushing Lies

OUR CRITICS

We too often find the infrequent comments posted on this blog by Priority One Credit Union's President Charles R. Wiggington, Sr.'s defenders to be nothing less than incredible. 

They apparently suffer from tunnel vision and an inability to differentiate between right and wrong. Inexplicably, they possess the ability to ignore his well-documented history of abuses, business failures and horrendous personal behaviors which include sexually harassing a former employee and repossessing a member's automobile and afterwards, transferring ownership to himself without paying any money for the vehicle. His acquisition of the car defrauded the credit of money that should have been gotten from the vehicle's sale at auction and then applied to the unpaid balance due on the loan. 

Despite these and other atrocious acts, there are a few people who post on this blog, and consider the President a victim. Many of them apparently lack the ability to differentiate between right and wrong and lack the ability to comprehend the gravity of what the President has done and continues to do. Even his lies to the DFI seem of no concern to his handful of proponents who see the President through rose-colored glasses. 

Two comments recently posted by readers state that Priority One's employees are afraid they may lose their jobs if they comment about the President's behaviors. We understand though we find it interesting that the President has never shown any reservation about publicly disparaging employees, members and vendors.  

We recently received an email from an employee of Priority One who stated that Human Resources "clerk", Esmeralda Sandoval, recently told several employees that if they are unhappy with the way the President manages the company, them they should "move on." 

Miss Sandoval is apparently too obtuse to comprehend that what people don't like about the President is more than the way he chooses to manage the credit union, though that is but one issue, but it is his chronic violations of policy and state and federal laws. His abuses of staff, his indulgence in vicious gossip and his immersion in character assassination, have heavily taxed employees and damaged morale. One would have thought that as a staff member of the Human Resources Department that Miss Sandoval would have understood this. 

Some of the sporadic comments that have been posted are purportedly intended to defend the President by leveling attacks against us and include declarations that they know our identity, that "you better do your job" and that we will be fired sometimes in the near future. The comments apparently are full of assumptions. What his defenders consistently fail to provide is evidence disproving what we report and reducing their statements to nothing more than defensive babbling. We invite any of the President's defenders to please provide evidence disproving anything we've reported since March 2009, though don't expect us to hold our breaths waiting.

THE ELECTION

One of the topics in this post is the 2009 election which was conducted earlier this year to fill this positions which became available on the  Supervisory Committee. 

As we reported in previous posts, late last year the President and Board Chair, Diedra Harris-Brooks, conspired to disrupt the election by limiting the number of members who would receive the state-mandated announcement of the election and invitation to nominate themselves to vie for one of the available.seats. They published the mandated notice in the credit union's Winter Newsletter which is only mailed to members who have a checking account and excluding the larger contingent of members who only have a savings account. 

We exposed their plot which forced an emergency meeting at the credit union's main branch in South Pasadena, California. During the meeting, the Board and Supervisory Committee and President Wiggington convened to try and derive a solution. Unable to circumvent the illegal act perpetrated by the President and Board Chair, it was decided to hold a second election which forced the credit union to spend money reprinting ballots, reprinting notices, and of course, having to spend more money needed to mail ballots. The conspiracy concocted by the President and Board Chair forced Priority One to spend money to hold another election, bringing into questions the veracity of the President's statements made during last May's annual meeting in which he said he is reducing spending, "streamling" and "working smarter." The crime perpetrated by the President and Board Chair dispels any notion that either knows anything about "working smarter." 

Some employees spoke to an auditor at the Department of Financial Institutions ("DFI") who confirmed that all members in good standing must receive notice of the upcoming election and an invitation to members, to nominate themselves to vie for a seat on either the Board or Supervisory Committee. 

Before we reported his crime, the President confidently strolled though the South Pasadena branch confidant and jovial. However, the President's mood soured after we exposed his plot and the Board and Supervisory Committee decided to conduct an entirely new election rather than risking the chance that employees could potentially file complaints with the state which could prove costly and embarrassing to the already scandal-ridden credit union. .  

THE DAMAGE 

Though a new election was ordered and more money spent to repeat the electoral process tampered with by the President and Board Chair, there were no nominations submitted for the second election, though former Director, David L. Davidson, did submit his nomination to vie for one of the two seats available on the Supervisory Committee. Clearly, Mrs. Harris-Brooks's and the President's decision to violate state law compromised the integrity of the electoral process which had never been meddled with since the credit union opened for business in 1926. The complete lack of response by members may indicate that members have lost all interest in the credit union's future and may not want to be associated with the notorious organization. 

The President's and Mrs. Harris-Brooks' plan was to do all in their power to ensure the current Directors and Supervisors remained unchanged. Last year, the President disclosed that the current body of Directors and Supervisors "do everything Diedra wants them to do" and she, in turn, allows the President to realize all his plans- legal and illegal. What's more, this year, David L. Davidson, submitted his nomination. After Mr. Davidson' nomination was received the President complained that Mr. Davidson was not welcome on the Supervisory Committee. It's interesting and telling that both the Preident and Board Chair were threatened by the White former Director. Mr. Davidson, who is an ethical and forthright person, is hated by the President because in 2007, he delivered an anonymous letter mailed to his residence which exposed then AVP, Liz Campos, of incurring more than 24 individual NSF incidents to her Priority One checking account, to credit union attorney, William Adler. Following an investigation that proved Mrs. Campos had been kiting, the attorney ordered her termination. Following her departure, the President complained to employees that he had been "forced to fire Lz" and swore that he would "get Dave [Davidson]." 

REVENGE

In 2007, the President decided to hire a financial planner. He said that adding a financial planner to staff would increase business. He was wrong. 

Mr. Davidson was a financial planner employed by CUSO, When he learned about the position that was being create, Mr. Davidson contacted the President who promptly hired. Because employees of the credit union cannot also serve on it's Board, Mr. Davidson who was a Director, resigned his post. 

While employed, AVP, Lynette Fortson, contacted the President and complained about Mr. Davidson and describing him as rude and unprofessional. At the time, Mrs. Fortson had told some of her staff that she didn't like "that White man."  The President called CUSO, Mr. Davidson's employer and told him he was firing the financial planner. Mr. Davidson was fired by both the credit union and CUSO. The President used treachery and slander to avenge himself against Mr. Davidson. What the morally deprived President refused to acknowledge is that his AVP, Mrs. Campos, violated federal law. Not only should she have been fired, she should have been arrested, booked and prosecuted but the amoral President can never understand because in the end and like spoiled child, Charles R. Wiggington, Sr. will do everything and anything to get his way. 

WHO IS JEFFREY CHEN?

When it was decided a second election would be conducted, Director, Bobby Thomas, joined the fray and told the President and Board Chair that he would find a candidate to run in the election which might help to dilute the number of votes that could potentially to to Mr. Davidson. Mr. Thomas found a postal carrier named Jeffrey Chen and easily convinced him that his inclusion on the Supervisory Committee would contribute in ensuring the safety, prosperity and growth of the credit union. Of course, Mr. Thomas' statements were nothing more than a disingenuous sales pitch. 

Mr. Chen was handed a nomination application and asked to submit it by the stipulated deadline. As the last day approached, when all nomination applications had to be submitted, Mrs. Harris-Brooks wrote to the member and asked that he return the completed nomination application as soon as was possible. This was the first and only time, Mrs. Harris-Brooks would write to a nominee and remind them to return their completed application. However, Mr. Chen did not return the application by the stated deadline.

After the deadline, the Board Chair contacted Bobby, asking he visit Mr. Chen and ask that he complete the application. At this point, the credit union was no longer, under the law, able to accept applications, simply because the deadline has passed. But as history has proven time and time again, the agendas of either President Wiggington or Board Chair, Mrs. Harris-Brooks, will never to deterred by something like laws, policies, or rules. 

A few days later and days after the deadline had passed, Mr. Chen visited the South Pasadena branch in South Pasadena and informed the receptionist that he was delivering his nomination to vie for a seat on the Supervisory Committee. According to Loan Department staff who sat a few feet from the reception desk, Mr. Chen became irate when the receptionist informed him that the deadline for submitting nomination applications had passed. Mr. Chen exclaimed that Director, Bobby Thomas, had told him he could submit his nomination application after the deadline. 

While Mr. Chen waited, the receptionist called the President and advised him that Mr. Chen was delivering a nomination application after the deadline date.  The President informed her that this was fine and asked her to thank Mr. Chen. The President arrived at the reception desk a short time later and taking the application in his hand, exclaimed loudly, "I've been waiting for this!"

DIRECTOR JANICE IRVING

The Board Chair, the President and the COO met and decided they would also campaign against Board Director, Janice Irving, because in 2008, Mrs. Irving voted for the termination of the President when evidence proved he sexually harassed a former employee. In the President's words, "It's time for her [Janice Irving] to go." 

Ms. Walker also inducted the assistance of Credit Resolutions Director, Yvonne Boutte, who told (not asked) her staff to make sure that they did not vote for Mrs. Irving, whose seat on the Board had come up for re-election. 

We must now wait for the election results to be made public but clearly, the President and Board Chair had no qualms in violating state laws and proving once again, that ethical conduct means absolutely nothing to the officers of what has become a credit union wallowing in losses. 

We hope members read the biographies which were provided with the ballots. Almost all the biographies were written in the third person, indicating they were not written by the nominees or incumbents. We've recently learned that President Wiggington contracted the services of Turner, Warren, Hwang and Conrad to write the biographies. Wasn't there a single person at the credit union who could write the biographies? Is this expense another way the President is "working smarter?" You may notice that David Davidson's biography is pushed to the bottom half of the page, strategically tucked away on the right hand corner. 

Though exposed of violating state law and forcing a second election, the President and Board Chair could not control their compulsion to corrupt the electoral process and found willing allies in COO, Beatrice Walker; Director, Bobby Thomas; and Credit Resolutions Director, Yvonne Boutte. 

THE PLUNGE

The credit union's financial troubles began after President William E. Harris retired and under his successor, Charles R. Wiggington, Sr. Under President Wiggington, the credit union has found itself forced into obscurity. 

Losses are the result of President Wiggington's ineptitude as a leader. He has no comprehension of marketing and his decisions are borne out of his personal belief system.

The intrusion in this year's electoral process was designed to preserve the Board's and Supervisory Committee's current dynamic securely in place. But why? Not one of the Directors or Supervisors has contributed anything that has impelled growth. The reason why Board Chair, Diedra Harris-Brooks, and the President found it easy to break the law is because retention of the current Directors and Supervisors insures that the Board Chair's and President's agendas are realized. Election of a new Director or Supervisor could affect the ability of the two officers to realize their plans which are always self-serving and never benefit the credit union.

Since 2007, the President has always blamed other people for the acts he alone, perpetrated. In 2007 and 2008, he attributed the slow down in business on "the mess" he inherited from former President Harris. But wasn't Mr. Harris' last day of employment, December 31, 2006? 

Earlier this year, he found a new scapegoat in CFO, Manny Gaitmaitan, who he described as "difficult", "uncooperative" and "not a team player." 

A visit to NCUA.gov reveals that in the years while Mr. Harris served as President, Priority One remained in the BLACK. In fact, only since President Wiggington became President has Priority One found itself immersed in the RED. The following financial information was obtained from the NCUA's website: 

Net Losses/Gains

September 2009

-$235,353.10

YTD

-4,423,557.82

The month of Net losses and gains for the month of August 2009 was -$184,648.82 while the year-to-date total was -$4,188,204.71. As readers have pointed out, the credit union continues to lose money though the President continues to describe business as "good" and "growing." 

 Some Pre-Wiggington Financials

Net Income Total

Quarter Ending June 2006

$164,358,374

Net Income GAIN - September 2006

+$530,857

September 2006

3rd Qtr

Total Assets

$173,252,329

Net Income (Loss)

+$802,443

December 2006

4th Quarter

Total Assets

$172,250,649

Net Income (Loss)

+$706,969

The financials, shown below, were reported by the credit union for the quarter ending on March 2007. This is the first quarter following the January 1, 2007, appointment of Charles R. Wiggington, Sr. to President. . 

Quarter Ending 3/31/07 

Net Income Total 

$169,246,575

As shown above, during the first quarter of 2007 and under the leadership of President Wiggington, Net Income dropped by approximately $3 million. Why would the cycle of growth have been reversed under President Wiggington? 

On the quarter ending June 30, 2007, Net Income declined to $167,775,277. Why were losses continuing? 

In the quarter ending September 2009, Net Income declined to $165,516,581.

The cycle of losses that have impacted the credit union began almost immediately after Charles R. Wiggington, Sr. began his appointment as President. Coincidence? 

In mid-2008, in a desperate attempt  to improve the credit union's finanical standing on paper, the President obtained approval from the Board allowing him to borrow $20 million from the credit union's line-of-credit. By the end of 2008 and as a result of the $20 million loan, Net Income increased to $179, 651,326. 

Not one of the President's predecessor found it necessary to borrow money from the credit union's line-of credit. Furthermore, none was a slave to vanity. The imprudent decision to borrow $20 million was fueled by pride, to create the impression that Ne Income was $20 million higher than it actually was. But obtainment of the high loan came at a cost, forcing the credit union to pay more than $30,000 per month on interest alone. The President's decision was sanctioned by the ignorant Board of Directors and added to the credit union's debt and dispelling the President's self-authored myth that he is "working smarter." Nothing can be further than the truth. If anything, President Wiggington is working dumber.

Not only has his blundering decisions added to Priority One's debt but the loan did absolutely nothing to alleviate the credit union financial problems and in the end, amounted to just more smoke and mirrors from a man who relies upon deception in his quest to raise pretentious and empty facades.