TYLER, Texas (CN) – The leader of a Texas federal credit union that stood next door to a county courthouse pleaded guilty Thursday to money laundering, after embezzling $1.2 million. Sandra H. Cooper, 56, of Orange, Texas, faces up to 10 years in prison.
Cooper, president and treasurer of the Orange County Employees Federal Credit Union, pleaded guilty to money laundering before U.S. District Judge Marcia Crone.
Prosecutors said Cooper embezzled $1,164,340 from the credit union over 4½ years. She was indicted by a federal grand jury on Dec. 1, 2010.
With only two employees, the credit union was housed in the administration building next to the Orange County Courthouse.
Its deposits were insured by the National Credit Union Administration Board, a federal agency similar to the Federal Deposit Insurance Corporation. The NCUAB determined in June 2010 that the credit union was insolvent and arranged a transfer of customer accounts to the Sabine Federal Credit Union.
Cooper is free on bond. Her sentencing date has not yet been set.