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Conference 7.286::dcu

Title:	DCU
Notice:	1996 BoD Election results in 1004
Moderator:	CPEEDY::BRADLEY

Created:	Sat Feb 07 1987
Last Modified:	Fri Jun 06 1997
Last Successful Update:	Fri Jun 06 1997
Number of topics:	1041
Total number of notes:	18759

294.0. "DCU vs. Mangone, civil action 91-1108-A" by GUFFAW::GRANSEWICZ (Someday, DCU will be a credit union.) Mon Sep 30 1991 20:30

        
    [Permission to forward or re-post this note is granted.]
    
    [All of the information contained below is PUBLIC DOMAIN.  Anybody who 
     wishes to take the time to go to the Plymouth County Superior Court 
     in Brockton, Massachusetts may make copies of these public documents.
     Where you see "...", text has been omitted.  The total length is 22
     pages.  My comments and statements are enclosed with "{}" ]
    
    [Before reading excerpts from this civil action, you should read a
    section of the DCU Bylaws and keep it in mind as you read further.]
    
    
    
	DCU Bylaws, Article 19, Section 4

	"No director, committee member, officer, agent, or employee of
	this credit union shall in any manner, directly or indirectly,
	participate in the deliberation upon or the determination of any
	question affecting his pecuniary interest or the pecuniary interest
	of any corporation, partnership, or association (other than
	this credit union) in which he is directly or indirectly interested.
	In the event of the disqualification of any director respecting any
    	matter presented to the board for deliberation or determination;
    	such director shall withdraw from such deliberation or
    	determination; and in such event the remaining qualified directors
    	present at the meeting, if constituting a quorum with the
    	disqualified director or directors, may exercise with respect to this
    	matter, by majority vote, all powers of the board.  In the event of the
    	disqualification of any member of the credit committee or the
    	supervisory committee, such committee member shall withdraw from such
    	deliberation or determination."

    
    
    Civil Action No. 91-1108-A
    
    Digital Employees' Federal Credit Union, Plaintiff
    
    v.
    
    Richard Mangone,
    Phoebe II Realty Trust,
    Phoebe III Realty Trust,
    Masry Kilduff Mangone as trustee of Phoebe II and III Realty Trusts,
    John Does A, B, C, Trusts A, B, C, Defendents
    
    v.
    
    Digital Employees' Federal Credit Union, Trustee
    
    v.
    
    Shearson Lehman Brothers, Inc.,  Reach and Apply Defendent
    
    
	VERIFIED AMENDED COMPLAINT FOR DAMAGES AND INJUCTIVE RELIEF
    	-----------------------------------------------------------
    
    	1. ...
    	   "Mangone played a central and pivotal role in the origination,
    	   administration, and management of these loans,"
    	   ...
    
    		{Is this a statement of Mangone's involvement as it was
    		 known to the DCU BoD at the time?  Or is this their
    		 statement of his involvement that they did NOT know about
    		 at the time?}
    
    	3. ...
    	   "importantly, however, for a period of several years Mangone
           served on the Board of Barnstable Community Federal Credit Union"
    	   ...
    
    		{Our BoD has stated that they were aware of Mangone's
    		 involvement with Barnstable.  If they knew he was on the
    		 Board of Barnstable at the same time he brought these
    		 loans to DCU, then they HAD to be aware of his interest in
    		 these loans when he brought them to DCU.  We would need
    		 access to the Minutes of the BoD meetings to determine
    		 when the DCU BoD required him to severe his ties with
    		 Barnstable.  According to the NCUA suit, he resigned from
    		 the Board at Barnstable in 1987.  But attended weekly
    		 meetings at Barnstable and Board meetings at Barnstable 
    		 right up until this year.}
    
    	6. "The Credit Union and Barnstable entered into a participation
    	   agreement dated December 13, 1985 (the "Participation
    	   Agreement") pursuant to which Barnstable originated, and the
    	   Credit Union participated in, a series of real estate loans
    	   (collectively, the "Participation Loans").  As a member of the
    	   Board of Directors of Barnstable, Mangone attended board
    	   meetings on a regular basis and served as an investment advisor
    	   to the Barnstable Board.  Even after he resigned as a member of
    	   the Barnstable Board, however, Mangone remained active in Board
    	   decisions as an investment advisor.  As such, he was principally
    	   responsible for providing the investment advice to the Board of
    	   Directors of Barnstable which led to its approval of the
    	   Participation Loans."
    	   ...
    
    		{We should demand a copy of this "Participation Agreement"
    		 from DCU in our written requests.}
    
    	8. "Pursuant to the established business loan policies of the
    	   Credit Union, the Participation Loans had to be approved by the
    	   Investment Committee of the Credit Unions's Board."
    	   ...
    
    		{This is the first time an "Investment Committee" is
    		 referenced.  Who was on this comittee?  We have been told
    		 the Board approved these.  Or was it a smaller committee?}
    
    	9. "With one extremely important and telling exception, the
    	   Participation Loans were approved by the Board of Directors of
    	   the Credit Union following, inter alia, a presentation by
    	   Mangone which included a detailed discussion by him of the
    	   investment potential of the property at issue, the loan
    	   documentation in the loan file, and the creditworthiness of the
    	   borrower."
    	   ...
    
    		{Mangone was present at each of these meetings where the
    		 loans were reviewed and approved.  A determination MUST be
    		 made concerning his direct or indirect interests in these
    		 loans and whether it was known by the DCU BoD.  It is
    		 critical to determine whether Mangone should have been 
    		 disqualified from the process.  If he should have been
    		 disqualified, then the Bylaws of the Credit Union were 
    		 violated. }
    
    	10."Although it was Barnstable which, at the recommendation and in
    	   response to the urging of Mangone, originated the Participation
    	   Loans, the credit risk under the loans was largely held by the
    	   Credit Union because its pro rata participation in each of the
    	   loans was normally between 75% and 90% of the loan amount."
    
    		{I'm glad to see DCU is now acknowledging their larger
    		 share of the risk.  I only wish they had exercised a
    		 similar proportion of the examination and verification of the
    		 documentation.}
    
    	20."For example, the statement of financial condition included in
    	   the Mazel II Participation Loan documents shows the personal net
    	   worth of Ryan to be $8,861,500 as of December 31, 1989, when in
    	   fact, Ryan earns a modest income as a carpenter and project
    	   supervisor and has never possessed even a fraction of the
    	   financial assets attributted to him.  He and his family live in
    	   a rented house and own no real estate."
    
    		{I gather from this that had DCU run a simple credit check
    		 of this person, a carpenter, they would have seen in an
    		 instant that the paperwork was bogus.  But when you're
    		 dealing with millionaires, you don't want to insult
    		 them I guess.}
    
    	22....
    	   "Mangone nonetheless gave instructions to a certain employee of
    	   the Credit Union on June 21, 1990 to transfer almost $3 million 
    	   to Barnstable for disbursement to unknown individuals or
    	   entities."
    	   ...
    
    		{How could this transfer have happened and how could it
    		 have gone undetected until after he was removed?  We're
    		 not talking about a few dollars here.  Was this guy in
    		 such total control of DCU?  Severe checks and balances
    		 problem here.}
    
    	24. ...
    	   "In June 1990 Mangone knew that the Credit Union's Board would
    	   not approve the single larget loan request in the history of the
    	   Credit Union in order to build still more tract housing in a
    	   real estate market that was already flooded with excess
    	   inventory."
    
    		{I'm not quite so sure this statement is true.  Just 3
    		 months earlier, they DID approve a loan for $1,241,936.}
    
    	29."The Yankee Village Participation Loan, like its predecessors,
    	   was originated at Barnstable by Mangone and then shepherded by
    	   Mangone through Barnstable's and the Credit Union's approval
    	   process in reliance upon fraudulent loan documentation."
    
    		{"shepherded by Mangone", again, if he had direct or indirect
    		 interest, he should have been disqualified.  No
    		 shepherding would have occurred.}
    
    	31....
    	   "The assembly of the loan documentation in support of the loans
    	   was overseen by Mangone and shephered through Barnstable and 
    	   then the Credit Union by him."
    
    		{"shepherded", yet again, if he had direct or indirect
    		 interest, he should have been disqualified.  No
    		 shepherding would have occurred.}
    
    	33....
    	   "Richard Mangone recommended that each and every Participation
    	   Loan be approved by the Credit Union's Board of Directors"
    	   ...
    
    		{Yet more involvement in the process.  Not only did he
    		 present them, he would issue recommendations.}
    
    	34."As a consequence of his critical role in shepherding each
    	   Participation Loan through the approval process,"
    	   ...
    
    		{See previous numerous shepherding comments.}
    
    	41....
    	   "Mangone's duties as President of the Credit Union included
    	   analysis of each prospective loan's investment value for the
    	   Credit Union, and the review of loan documents, including
    	   financial statements, to determine their authenticity adequacy
    	   and accuracy with respect to each of the proposed Participation 
    	   Loans."
    
    		{Well then what exactly was the BoD's role and
    		 responsibility?  Just sit back and say yes or no?  Just
    		 blindly trust a presentation on what was obviously real
    		 estate speculation?  Is this due care?  Is this the extent
    		 of their fiduciary duties where it concerns our money? 
    		 The nature of these speculative laons/investments should
    		 have warranted the most EXTREME review process available. 
    		 Instead, they appear to have received quite the opposite.}
    
    	44."As a result of Mangone's aggravated failure to exercise due
    	   care and his breach of fiduciary duty, the Credit Union has
    	   suffered damages in an amount to be determined at trial, but in
    	   excess of $10 million, plus attorneys' fees, costs and accrued
    	   interest."
    
    		{In my opinion, after reading this complaint, I can say
    		 that Mangone perpetrated fraud, but he couldn't
    		 have found a more willing group.  He didn't shepherd the
    		 loans, he shepherded the DCU BoD.}
    	
    	46."In early 1986, the Credit Union entered into an agreement with
    	   Mangone concerning his compensation whereby the Credit Union
    	   offered to continue Mangone's employment as President of the
    	   Credit Union based on compensation in the form of the payment of an
    	   annual salary and an annual performance bonus.  Mr. Mangone
    	   accepted the Credit Union's offer."
    
    		{Another document to request.  What was this bonus based
    		 on?  Would that bonus be affected by these loans in any
    		 way?  If it would be, then yet another reason he should
    		 have been disqualified from the process.}
    
    	47....
    	   "These converted funds included: (a) the payment of life
    	   insurance premiums by the Credit Union in the amount of $10,000
    	   dollars per year from 1986-1990, inclusive; and (b) the payment
    	   of automobile related expenses to Richard Mangone in the amount
    	   of $150-$175 per week for approximately 260 weeks."
    
    		{What was costing Mangone $150-$175 a week in auto
    		 expenses?  Was this for his travel to and from work?  Or
    		 was it for travel to and from Barnstable CU?}
    
    
    	54."As an officer of the Credit Union, Mangone had a fiduciary duty
    	   of loyalty to the Credit Union which required him to act honestly
    	   and faithfully in the performance of his duties.  Based on the
    	   facts set forth above, Mangone breached his fiduciary duties to the
    	   Credit Union."
    
    		{Yes, he did.  But was the DCU BoD aware of his involvement
    		 with Barnstable and to what degree?  His involvement with
    		 Barnstable seemed to be common knowledge in Barnstable.}
    
    
    		{Missing in this whole document is a statement of what
    		 DCU's Board did with regards to ITS fiduciary duties and its
    		 responsibility to act with "due care".  Reading this I
    		 believe that it can be summed up by saying they just trusted 
    		 everything they were told.  They toke no independent
    		 action that I can see to protect DCU.  In my opinion, they
    		 appear to have surrendered their fiduciary duties to
    		 Mangone in the form of trust and are now trying to pin it 
    		 all on him.  Loans/investments that should have received a
    		 going over with a fine tooth comb were given the opposite
    		 treatment.  I contend that given the nature of the
    		 "investment" being made, the DCU BoD also did not act
    		 with due care.}

T.R	Title	User	Personal Name	Date	Lines
294.1		MIZZOU::SHERMAN	ECADSR::Sherman DTN 223-3326	`Tue Oct 01 1991 11:51`	6
	Amen to that summary. In addition, while reading I kept thinking about the fact that the BoD loaned $18M based on "trust" in Mangone, and Mangone was only bonded for $6M. Was there any mention of this in the document? Steve
294.2		GUFFAW::GRANSEWICZ	Someday, DCU will be a credit union.	`Tue Oct 01 1991 13:15`	4
	RE: .1 No mention of the bond on Mangone that I can recall.
294.3		COMET::PERCIVAL	I'm the NRA, USPSA/IPSC, NROI-RO	`Tue Oct 01 1991 14:21`	11
	<<< Note 294.2 by GUFFAW::GRANSEWICZ "Someday, DCU will be a credit union." >>> > No mention of the bond on Mangone that I can recall. It would be unlikely to find it in the court documents. This suit is to recover "damages". In this case what the DCU will show is the loss that we incurred due to Magone's actions. The bond will reduce the amount of that loss. Jim
294.4	Re: BoD's Fiduciary Responsibilities...	UNXA::ADLER	Rich or poor, it's nice to have $$$	`Tue Oct 01 1991 14:50`	6
	...you can bet that some smart lawyer will base Mangone's defense on the BoD's not having exercised due care. Is it any wonder why it's not mentioned in the complaint? We [DCU members] could be in deep sneakers if such an argument was construed as valid by the courts. /Ed
294.5		GUFFAW::GRANSEWICZ	Someday, DCU will be a credit union.	`Tue Oct 01 1991 15:09`	17
	RE: .4 It's pretty obvious that they will all be pointing the finger at each other. After all, the final decision go/no-go decision was the Boards, not Mr. Mangone (with 1 exception according to the suit). Maybe a court will find that there is a share of responsibility for everybody involved? But I don't think I'm quite as confident as the DCU BoD is of winning and/or collecting on these suits. One thing is for sure. WE will pay for a LOT of lawyers bills. We already are. But the alleged fraudulent activities of Mr. Mangone does not absolve the DCU BoD from their responsibility of exercising due care. Equally, the failure of the BoD to exercise due care does not absolve Mr. Mangone of his alleged fraudulent acts. So my question to the DCU BoD is "What did you do in this matter that demonstrates that you exercised due care?"
294.6	Obtaining Blood from Rocks	USCTR1::RTRUEBLOOD	Rollyn Trueblood DTN 297-6553	`Thu Oct 31 1991 14:17`	9
	Last I knew, fraud not only has civil remedies but criminal remedies as well. In the case at hand, the DCU is BIG and crosses several state lines. Perhaps civil relief will not be the only result of this broo-hah-hah. If the ex-Prez is indicted by the Justice Department and by-chance the ex-PREZ is convicted, a fine might be part of the penalties exacted. Does someone know who has collection priority, criminal or civil penalties? Something tells me a big federal fine would eat into any monies left for civil relief that the ex-Prez might beneficially control.
294.7		BAGELS::CFSBHW::WILLIAMS		`Thu Oct 31 1991 18:50`	7
	I have a question, and perhaps this isn't the right note, but... If the Bond insuring the ex-Prez has been paid, presumably by an insurance company, wouldn't the insurance company then line up to sue him too? If that's the case, what are the true chances that the rest will be recovered? Bryan
294.8		POBOX::KAPLOW	Free the DCU 88,000 11/12/91!	`Thu Oct 31 1991 19:04`	3
	...and isn't the DCU now standing in line behind Barnstable CU? Just how many ways can you cut a $44 pie and still cover your legal fees?
294.9	YAGQ (yet another good question)	ESBLAB::KINZELMAN	Paul Kinzelman	`Thu Oct 31 1991 19:21`	7
	Good question. I've wondered more and more lately about that. With the Criminal lawsuit against Mangone, I'd think that DCU's lawsuit comes after that (I don't really know), in which case, Mangone will be bankrupt, in which case, the DCU suit is an expensive way to divert attention away from the board's responsibility. DCU may stand to lose a lot more in legal fees due to the suit than they can ever hope to recover from Mangone. And what's worse, it's going to a lawyer 8*).
294.10		SASE::FAVORS::BADGER	One Happy camper ;-)	`Thu Oct 31 1991 20:58`	2
	Funney, I think I said the same thing a few weeks ago. I don't know why we are spending good money to get nothing.
294.11	My speculations	MUDHWK::LAWLER	Not turning 39...	`Fri Nov 01 1991 07:24`	32
	>I don't know why we are spending good money to get nothing... FWIW, I think it's worthwhile to _NOT_ try to second guess the reasons behind the lawsuit, but I'd offer the following 2 suggestions as to why it may be necessary: 1) Mangone doesn't necessarilly have _nothing_. When the suit was filed, he had an expensive house, a ferrari, a mercedes and a BMW. He may in fact have more assets. If DCU gets a judgement in our favor, if he were to declare bankruptcy, DCU would at least be in the running for the proceeds of any liquidation. (I think DCU could also force a liquidation as well. (I don't know much about bankruptcy, but I think one must list all the creditors you want protection from - winning the lawsuit probably makes DCU a creditor.) 2) In some situations, failure to assert one's legal rights can amount to a waiver of such rights. (I don't know if that applies in this case.) In any event, it may have been a necessary step to recover damages from the bonding company. In summary, although I think there are many valid areas of criticism of the BOD's management of the credit union, I don't think the lawsuit is one of them... I really think we should step back and let the lawyers handle this one... -al
294.12	I met a friend of Mangone's.....	TYGER::GIBSON		`Fri Nov 01 1991 09:24`	21
	While engaged in a discussion of white collar crime recently, I brought up the situation with Mangone and the Barnstable and Digital CU's. Unknown to me, one of the participants in the conversation happened to be a personal friend of his. Her "justifications" for his actions were: 1. His son had died. 2. He got a little greedy, so he's going to jail. She also stated that he had lost his boat and his airplane because of his legal situation. Her sympathies were all with him. He did wrong, but there were extenuating circumstances. This is a place where I do frequent business, and she is an employee there, so I did not get into a "p****ing contest" with her. I equate her attitude to that of friends of an ax murderer: "He was always such a nice boy, and took such good care of his mother." Linda
294.13		GUFFAW::GRANSEWICZ	Someday, DCU will be a credit union.	`Fri Nov 01 1991 09:57`	11
	His son had died. My sympathies but people suffer losses of loved ones without defrauding thousands of people of millions of dollars. A play on peoples' sympathies I guess. Worth a shot but pretty poor in my eyes. He got a little greedy? Guess we can thank our lucky stars he didn't get REAL greedy! This man should do HARD time if convicted. He has stolen from thousands of people. It'll be interesting to see what happens to him in the halls of justice.
294.14	He got a little greedy, but at least he didn't show it off	LJOHUB::SYIEK		`Fri Nov 01 1991 10:34`	13
	Mangone had a boat and an airplane too? Along with, what was it, half a dozen luxury cars and eight rental properties? Boy he sure didn't believe in flaunting it. It's easy to understand why no one suspected him of wrongdoing. Sort of reminds me of that cartoon on one of the walls here, showing a guy being led away by the FBI from a yard sale he was holding featuring "surplus" Digital video terminals, with the caption: "So, what tipped you off that he was stealing from Digital?" Jim
294.15		SSDEVO::EGGERS	Anybody can fly with an engine.	`Fri Nov 01 1991 13:57`	8
	Re: .-1 The airplane was probably at at airport somewhere, not in his front yard. And the boat possibly at some marina. The ownership of rental properties isn't obvious to casual observers. Now where he parked half a dozen luxury cars isn't clear to me. If on his home property, that becomes obvious.
294.16		MIZZOU::SHERMAN	ECADSR::Sherman DTN 223-3326	`Fri Nov 01 1991 14:51`	10
	As to whether or not the Board should go after Mangone, just imagine what the outcry would have been if the Board said, "We know we can't recover anything because there are too many other concerns that will take everything. It won't be worth the effort of getting the best lawyers money can buy." Darned if they do, darned if they don't. Better to appear to be doing all you can possibly do to recover the funds of shareholders, even if the net result is negligible. I don't fault the Board on this decision. Steve
294.17		COGITO::AHERN	We can vote REAL CHOICES for DCU!	`Sun Apr 05 1992 15:56`	78
	[Permission to forward or re-post this note is granted.] The following appeared in "The Boston Globe" on Saturday, April 4th. THRIFT OFFICIAL CRITICIZED Trustees say Mangone led high-roller's life By John H. Kennedy Globe Staff Richard D. Mangone, accused of helping defraud the Barnstable Community Federal Credit Union of $47 million, has lived a high-roller's life on gambling junkets to Las Vegas in violation of a court order, officials alleged yesterday. The National Credit Union Administration sued Mangone and four other former credit union officials last year to recoup losses from allegedly fraudulent loans at the Hyannis institution, which was placed in liquidation by the agency in June. Now a court-appointed trustee in the lawsuit is seeking a criminal contempt charge against Mangone for allegedly violating a federal judge's order limiting Mangone's spending to $8,000 per month for "ordinary, reasonable and usual personal expenses.' Officials said Mangone has frequented the Mirage Casino at Las Vegas seven times since the judge's order last August, purchased more than $250,000 worth of chips, winning or losing as much as $40,000 per trip. His total net losses from the trips, according to the documents, amounted to about $10,000. "Every day that defemdant Mangone is permitted to violate the court's order depletes the pool of assets available to repay [the credit union] and the NCUA's insurance fund," regualators said in the documents filed yesterday in US District Court in Boston. In a single day in February, for example, Mangone lost more than $20,000 at the Mirage, more than doubling the amount the court allowed him to spend monthly without permission of the trustee, according to the documents. Mangone, of Norwell, has an unlisted telephone number and could not be reached for comment yesterday. His lawyer, William Cagney, of Edison, N.J., said he had not seen the court documents and declined to comment. The federal agency, which filed casino computer records to support the trustee's request for a contempt charge, said Mangone also "lived the life of Riley" in the 1 1/2 years before the court order and in the dying days of the credit union. During that period, Mangone visited the Mirage more than two dozen times, wagering more than $2.5 million, and on one six-day trip in March 1991 lost more than $240,000, the documents said. "To say that defendant Mangone is a valued customer at the Mirage Casino in Las Vegas, Nevada, is an understatement," according to documents. They draw a picture of a high-stakes gambler, the kind of a customer who rated free penthouse suites, airline tickets, meals and boxing tickets. In fact, the Mirage "often ensconced defendant Mangone in the lap of luxury," showering him with more than $35,000 worth of such gratuities, said the regulators. While the National Credit Union Administration has filed the civil lawsuit against Mangone and others involved in Barnstable, no criminla charges have been filed. Mangone was fired last April as president of the Digital Employees Federal Credit Union, a separate corporate entity from the computer manufacturer. That credit union has also sued Mangone over $18 million in bad real estate loans, some of them made in conjunction with the Barnstable credit union, according to a Plymouth Superior Court lawsuit. That lawsuit alleges "Mangone played a central and pivotal role in the organization, administration and management of these loans, which have involved extensive fraud and other acts of wrongdoing."
294.18	Countdown to bankruptcy	GUFFAW::GRANSEWICZ	REAL CHOICES for a real CU!	`Mon Apr 06 1992 11:01`	24
	Well, nice to know they're keeping track of the old Prez anyways. Many people had wondered if he'd skipped the country. Looks like the only reason he'd do that would be to hit Monte Carlo. >During that period, Mangone visited the Mirage more than two dozen >times, wagering more than $2.5 million, and on one six-day trip in >March 1991 lost more than $240,000, the documents said. Hmmm, I wonder if this was after he was granted a leave of abscence from DCU to help NCUA with Barnstable? >Mangone was fired last April as president of the Digital Employees >Federal Credit Union, a separate corporate entity from the computer >manufacturer. Well, if today is Monday, the subject is Mangone and the sun is shining then it must be the day DCU is a seperate corporate entity. Who volunteers to call the Globe and tell them that DCU is not a seperate corporate entity but an "important employee benefit"? ;-) Maybe we should start a note for "Guess how much DCU will recover from Mangone".
294.19		TOMK::KRUPINSKI	I'm voting for 'REAL CHOICES' candidates in the DEFCU election	`Mon Apr 06 1992 11:15`	9
	> Maybe we should start a note for "Guess how much DCU will recover from > Mangone". I expect that depends upon how well he does at the tables... He's just trying to win enough to pay us all back, right? Tom_K
294.20		AOSG::GILLETT	Petition candidate for DCU BoD	`Mon Apr 06 1992 12:01`	10
	Unbelievable! The more this stuff gets out into the open, the worse it gets. $250,000 a pop...that's some hefty coin. The only good news in this is that if the allegations are true, then he has money. I would've expected him to be bankrupt by now. Those go-get'em bull market days of the 80's are sure coming home to roost aren't they? ./chris
294.21		PATE::MACNEAL	ruck `n' roll	`Mon Apr 06 1992 12:28`	8
	� Well, if today is Monday, the subject is Mangone and the sun is shining � then it must be the day DCU is a seperate corporate entity. Who � volunteers to call the Globe and tell them that DCU is not a seperate � corporate entity but an "important employee benefit"? ;-) It is a separate corporate entity in that the the DCU BoD and the DEC BoD are not one and the same, and the officers and shareholders are not one and the same.
294.22		AOSG::GILLETT	Petition candidate for DCU BoD	`Mon Apr 06 1992 12:46`	21
	> It is a separate corporate entity in that the the DCU BoD and the DEC > BoD are not one and the same, and the officers and shareholders are not > one and the same. No disagreement there. I think what Phil was referring to is that, depending on the situation, DEC senior management refer to DCU as either an employee benefit (implying a close relationship between DEC and DCU), or as a separate corporation (implying no relationship between DEC and DCU). For example, I was talking to "somebody" in Corporate (promised to not report who, or the exact nature of the conversation in notes) about DCU issues a couple weeks ago. This person, as part of another comment, referred to DCU as a separate corporation. On the other hand, I've heard DCU referred to as a valuable resource by this same person's peers. How DCU is perceived, of course, has a direct implication on how DEC management treat people who are concerned with DCU's future, and with how "problems" related to DCU are handled. DEC has shown itself to be inconsistent with their interpretation, which makes it convenient to react in paradoxical ways. ./chris