WAILUKU, Hawaii — Two women are awaiting sentencing after pleading guilty to embezzling more than $1 million from the now-closed First Hawaiian Homes Federal Credit Union on Molokai.
Allennie Naeole and Janell Purdy were the only two permanent employees of the credit union when the funds were embezzled over a period of at least nine years before the credit union was closed due to insolvency in December 2015, the Maui News reported Wednesday.
Naeole, 55, of Kaunakakai, was the manager and Purdy, 40, of Wailuku, was the customer service representative at the credit union in Hoolehua.
Naeole pleaded guilty to conspiracy to embezzle credit union funds and aggravated identity theft in February. Purdy pleaded guilty to conspiracy to embezzle credit union funds April 4.
Other charges were dismissed in exchange for the guilty pleas.
Naeole and Purdy were arrested in November after a federal grand jury returned a 15-count indictment against them.
Purdy signed several checks issued from credit union accounts to pay for personal expenses of Naeole and her family members, according to court documents.
The credit union’s books and records were altered to cover up negative balances by showing deposits made into personal accounts of Purdy, Naeole and their family members, the documents said.
The National Credit Union Administration liquidated and closed the credit union In December 2015 due to insolvency caused by long-term embezzlement, with loss and liquidation expenses of more than $2 million.
The credit union was chartered in 1937 and served nearly 1,400 members when it was liquidated.
Naeole is scheduled to be sentenced June 13.
Purdy’s sentencing was set for July 18.
Information from: The Maui News, http://www.mauinews.com