) 
IN THE MATTER OF                              )
                                              )
ROSEMARY FRIEND                               )            
                                              )    No.  94-0501 V
An Institution Affiliated Party and           ) 
Person Participating in the Affairs           )
of the Electricians Local #347 Credit Union   )
                                              ) 

Pursuant to Section 206(i)(1) of the Federal Credit Union Act, 12 U.S.C. §1786(i)(1), you are hereby notified that you are prohibited from participating in any manner in the affairs of any federally insured credit union. This prohibition results from activities you engaged in during your affiliation with Electricians Local #347 Credit Union. This prohibition is effective immediately upon service. In accordance with Section 206(g)(7)(A) of the Federal Credit Union Act, 12 U.S.C. §1786(g)(7)(A), this Order shall constitute a prohibition from further participation in any manner in the affairs of any federally insured financial institution, or other entity identified therein, without the written permission of the appropriate federal regulatory agency. This Order has been issued based upon the following information.

You pleaded guilty to two counts of Title 18, United States Code, Section 657, embezzlement from a financial institution insured by the National Credit Union Administration Board. You were sentenced on February 3, 1994, by the U.S. District Court for the Southern District of Iowa, to imprisonment for twenty-four months, supervised release for three years and ordered to pay restitution of $778,208.95. A copy of the Judgment in a Criminal Case, dated February 3, 1994, is attached to this Order as Attachment 1 and is incorporated by reference herein. Because an appeal has not been filed within the time specified by the Federal Rules of Appellate Procedure, your conviction is now final.

The offenses of which you were convicted were committed while you were employed as the manager of the Electricians Local #347 Credit Union of Des Moines, Iowa. You pleaded guilty to embezzling $778,208.95 from the credit union. In a letter to the president of Tradesmen Credit Union, the merger partner of Electricians Local #347 Credit Union, you admitted to owing the credit union $778,208.95 as a result of your having made unauthorized withdrawals from members' accounts. At the time of your criminal actions, Electricians Local #347 Credit Union was a federally insured credit union.

The offenses to which you pleaded guilty involve personal dishonesty and breach of trust. Your continued participation in the affairs of any federally insured credit union may pose a threat to the interests of credit union members and may threaten to impair public confidence in the credit union involved.

Pursuant to Section 206(i)(3), of the Federal Credit Union Act, 12 U.S.C. §1786(i)(3), you may request in writing, within thirty days of service of this Order, an opportunity for a hearing at which you may present evidence and argument that your continued participation in the affairs of any federally insured credit union would not, or would not be likely to, pose a threat to the interests of that credit union's members or threaten to impair public confidence in the credit union. Any such request should be sent to: Secretary of the Board, National Credit Union Administration, 1775 Duke Street, Alexandria, VA 22314-3428. This hearing will be held in Washington, D.C., or such other place as designated by the Board, in accordance with Subpart D of Part 747 of NCUA's Rules and Regulations, 12 C.F.R. §747.301 et. seq.

Pursuant to Section 206(k)(2) of the Federal Credit Union Act, 12 U.S.C. §1786(k)(2), any violation of this Order may subject you to a Civil Money Penalty of up to $1,000,000.00 a day for each day said violation continues. In addition, pursuant to Section 206(l) of the Federal Credit Union Act, 12 U.S.C. §1786(l), any violation of this Order is a felony offense that is punishable by imprisonment of up to five years and a fine of up to $1,000,000.00.

This is to certify that I have served the foregoing Order of Prohibition in the Matter of Rosemary Friend, by depositing the same with the U.S. Postal Service, certified mail, return receipt requested, addressed to James P. Piazza, Esq., 2454 S.W. 9th Street, Des Moines, Iowa 50315, attorney for Ms. Friend.