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Conference 7.286::dcu

Title:	DCU
Notice:	1996 BoD Election results in 1004
Moderator:	CPEEDY::BRADLEY

Created:	Sat Feb 07 1987
Last Modified:	Fri Jun 06 1997
Last Successful Update:	Fri Jun 06 1997
Number of topics:	1041
Total number of notes:	18759

298.0. "Article From the Boston Herald" by MPO::WHITTALL (Only lefties are in their right mind) Thu Oct 03 1991 14:28

From "The Boston Herald"
Thursday 10/3/91  Page 38

		  Digital credit union under fire

	Bad loans, new fees spur hundreds of angry members to protest


The state's largest credit union, shaken by bad real estate loans on Cape Code,
has hundreds of angry members who want to replace directors and rescind recently
announced fees.

Members of the Digital Employees Federal Credit Union have submitted a petition
with 1,220 signatures, seeking a special meeting.

The credit union has 88,000 members, who are Digital Equipment Corp. employees
and their relatives.  The credit union and the Maynard-based computer maker are
separate corporate entities.

With $384 million is assets, the Digital credit union is the largest in Massa-
chusetts.

The angry members, who formed a group called the DCU Special Meeting Committee,
were responding in part to the credit union's link to $18 million in bad real
estate loans from the failed Barnstable Community Federal Credit Union.

The Digital credit union bought 75 percent to 90 percent of the Hyannis credit
union's participation loans -- which are shared by more than one lender -- thus
becoming exposed to heavy losses, according to court records.

The large commercial loans were for motels, subdivisions and other commercial
projects mostly on Cape Code and the South Shore around Boston, according to
registry records.

The Digital credit union fired its president Richard M. Mangone of Norwell, on
April 5.

Mangone also was a charter member and the first chairman of the Barnstable
credit union.

Mangone was named as a defendant in one of the nation's largest credit union
fraud cases, filed in June be the National Credit Union Administration.

But the 'firecracker' that sparked the Digital petition drive was the credit
union's August announcement of new checking fees to generate more income, said
Phil Gransewicz, of Holden, spokesman for the committee.

Mary Madden, a credit union spokeswoman, told the Cape Cod Times that the new
fees have been put on hold pending a review by DCU's new president, Charles
Cockburn.

The decision to review was made before the petition was received, she said.

Madden said the member's petition has been validated and a special meeting
will be set.  The committee wants to elect a new board of directors and rescind
new fees and minimum balances on checking accounts.                    -AP

T.R	Title	User	Personal Name	Date	Lines
298.1		HPSRAD::RIEU	Read his lips...Know new taxes!	`Thu Oct 03 1991 15:42`	4
	Great work Phil! This is the big push we needed. Now that the whole thing has seen the light of day, maybe the BoD will get off their hands and communicate. Denny
298.2	First shot on Lexington Green	JUPITR::BOYAN		`Thu Oct 03 1991 16:11`	9
	RE -1 Denny, One newspaper article will not bring the BoD to it's senses. This was only the first shot in a skirmish. All indications are that we are in this for the long haul. More than likely years. Ron
298.3	More DCU generated disinformation...	COOKIE::WITHERS	Bob Withers - In search of a quiet moment	`Thu Oct 03 1991 18:24`	5
	>Mary Madden, a credit union spokeswoman, told the Cape Cod Times that the new >fees have been put on hold pending a review by DCU's new president, Charles >Cockburn. Claptrap! Only the checking fee has been modified. Worse, its only delayed rather than rescinded.
298.4		POBOX::KAPLOW	Set the WAYBACK machine for 1982	`Thu Oct 03 1991 18:52`	4
	Anyone from anywhere in the country can write a letter to the editor. This can be to provide additional facts, correct mis-staatements, or whatever. Could someone propose the appropriate editorial address for this paper?
298.6	More Media Addresses	JUPITR::BOYAN		`Fri Oct 04 1991 06:59`	36
	The Middlesex News Mr. Dave Funkhouser Metro Editor Metro Desk 33 New York Ave. Framingham, Mass. 01701 The Worcester Telegram & Gazette Mr. Thomas Cole City Desk Editor City Desk 20 Franklin St. Worcester, Mass. 01615 WRKO Radio Gene Burns/Jerry Williams Ms. Sheryl Epstein Executive Producer 3 Fenway Plaza Boston, Mass. 02215 The Boston Globe Mr. Peter Mancusi City Desk Editor City Desk P.O. Box 2378 Boston, Mass. 02107 The Boston Herald Mr. Mike Bello City Desk Editor City Desk 300 Harrington Ave. Boston, Mass. 02106
298.7	also in Union Leader	SALEM::BERUBE_C	Claude, G.	`Fri Oct 04 1991 07:10`	5
	The article in .0, also showed up in yesterdays Union Leader's Business section. The only difference was the paragraph with Phil's name in it was missing. Claude
298.8	DTW, yes!	TPS::SHAH	Amitabh Shah - Just say NO to decaf.	`Fri Oct 04 1991 09:59`	2
	I wonder when it will show up in Digital This Week :-).
298.9		CHIEFF::MACNEAL	ruck `n' roll	`Fri Oct 04 1991 11:57`	2
	Claptrap and disinformation? Gee, I thought put on hold meant delayed and not rescinded.
298.10		COOKIE::WITHERS	Bob Withers - In search of a quiet moment	`Fri Oct 04 1991 12:39`	10
	> <<< Note 298.9 by CHIEFF::MACNEAL "ruck `n' roll" >>> > > Claptrap and disinformation? Gee, I thought put on hold meant delayed > and not rescinded. Yes, we want the fees rescinded or at least rolled back. Mary Madden is quoted as: all the fee increases are on hold - which we know is not correct. BobW
298.11		CHIEFF::MACNEAL	ruck `n' roll	`Fri Oct 04 1991 13:11`	11
	�But the 'firecracker' that sparked the Digital petition drive was the credit �union's August announcement of new checking fees to generate more income, said �Phil Gransewicz, of Holden, spokesman for the committee. � �Mary Madden, a credit union spokeswoman, told the Cape Cod Times that the new �fees have been put on hold pending a review by DCU's new president, Charles �Cockburn. It's pretty obvious that the fees that were referred to were the checking fees. Neither Phil nor Mary mentioned the other fee increases.
298.12		HPSRAD::RIEU	Read his lips...Know new taxes!	`Fri Oct 04 1991 15:55`	2
	But the checking fees have gone up. The stop payment fee is now $15. Denny
298.13		HPSRAD::RIEU	Read his lips...Know new taxes!	`Tue Oct 08 1991 07:42`	3
	A condensed version of the AP story appeared in the Fitchburg/Leominster paper last night. Denny