NCUA, in its role as liquidating agent, announced a $76 million distribution to paid-in capital shareholders of the former U.S. Central corporate credit union.
As liquidating agent of the former corporate credit unions’ asset management estates, the NCUA has previously made six rounds of distributions.
In 2020, 2021, 2022, and earlier in 2023, capital holders of Southwest, Members United, Constitution, and U.S. Central received distributions. This current distribution is scheduled to occur before the end of September 2023.
With this seventh distribution, the NCUA will have returned $2.8 billion to former membership and paid-in capital shareholders and more than $360 million in dividends to shareholders.
The Corporate System Resolution Program is a landmark initiative established by the NCUA Board to stabilize, resolve, and reform the corporate credit union system in the wake of the 2008 financial crisis.
The program allowed the credit union system to absorb the failures of U.S. Central, Western, Southwest, Members United, and Constitution corporate credit unions over time.
Information on the Corporate System Resolution Program, including projections for the Corporate Asset Management Estates Recoveries and Claims, as well as the process for determining the timing of distributions to member capital account holders, is available on NCUA’s website.