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Published: Saturday, 1/19/2013

Credit union’s manager gets prison for $2M embezzlement

BY VANESSA McCRAY
BLADE STAFF WRITER
Sharon Broadway, 62, will serve at least 45 months in prison for embezzlement. Sharon Broadway, 62, will serve at least 45 months in prison for embezzlement.
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MONROE — A Toledo woman who pleaded guilty to em­bez­zling more than $2 mil­lion from a now-shut­tered Tem­per­ance credit union was sen­tenced Thurs­day to at least 45 months in prison.

Sharon Broad­way, 62, pleaded guilty in Decem­ber to fel­ony counts of rack­e­teer­ing and fi­nan­cial in­sti­tu­tion em­bez­zle­ment from Mon­roe County’s United Cath­o­lic Credit Union, which closed in Au­gust af­ter state reg­u­la­tors dis­cov­ered it was in­sol­vent.

Judge Mi­chael Weipert of Mon­roe County’s 38th Cir­cuit Court sen­tenced Broad­way to 10 to 240 months on the em­bez­zle­ment charge and a con­cur­rent 45 months to 240 months on the other charge. She also was or­dered to pay $2,598,000 in res­ti­tu­tion and can’t work in the fi­nan­cial in­dus­try, said Joy Year­out, a spokes­man for the Mich­i­gan At­tor­ney Gen­eral.

Broad­way’s at­tor­ney, Lorin Zaner, said, “She’s very apol­o­getic for what hap­pened and how she’s let so many peo­ple down.”

The state’s Of­fice of Finan­cial and In­sur­ance Reg­u­la­tion shut down the credit union, which counted more than 200 mem­bers who be­longed to area Cath­o­lic par­ishes. Broad­way was de­scribed by the At­tor­ney Gen­eral of­fice as the credit union’s “man­ager, sec­re­tary, board mem­ber, and sole em­ployee.”

Of­fi­cials said she hid her ac­tions for nearly 30 years us­ing a scheme that in­cluded no record of cer­tif­i­cates of de­posit on credit union books.

Mr. Zaner said it’s un­likely his cli­ent will be able to make full res­ti­tu­tion. He said Broad­way had found an­other job but not yet started the po­si­tion. She was taken im­me­di­ately into cus­tody af­ter sen­tenc­ing.

Broad­way spent some of the money on oth­ers, he said. “There re­ally is noth­ing to show for it. She didn’t live an ex­trav­a­gant life,” Mr. Zaner said.

Credit union mem­bers did not lose money be­cause the funds were fed­er­ally in­sured by the Na­tional Credit Union Ad­min­is­tra­tion, said John Kol­hoff, dep­uty com­mis­sioner of the Of­fice of Finan­cial and In­sur­ance Reg­u­la­tion credit union di­vi­sion. Any res­ti­tu­tion will re­turn to the Na­tional Credit Union Ad­min­is­tra­tion to cover its losses, he said.

“We’ve taken not only the crim­i­nal ac­tions but reg­u­la­tory ac­tions,” Mr. Kol­hoff said.

State of­fi­cials said the em­bez­zle­ment was found dur­ing a rou­tine ex­ami­na­tion by reg­u­la­tors. Broad­way was charged in No­vem­ber.

Con­tact Va­nessa McCray at:vmc­cray@the­blade.comor 419-724-6065.



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