First Central Credit Union

“The $860,014 is a CDFI Grant income error. The data we had when the end of year 2023 financials were completed showed that we had earned $2,478,839, however months later into 2024, a reporting data error was discovered. The correct calculations shows that we earned $1,618,825. The correct figure is reflected in the auditors statement of income. It is important to note that the remaining CDFI grant income was earned in 2024. We promptly notified CDFI of the reporting error and provided them with the correct information.”

“Audited set of financials has two of our expense accounts booked on their financials under income. Visa incentive expense for $113,467 and Charged off share items expense for $7,200. Audited set of financials has two accounts that they booked as expenses that we booked under income on our financials. Corporate owned life insurance expense is $7,176 and Indirect Lending Expense of $16,113. On First Central's books, both items are expenses but are netted out of our income. The net of all four items are as followed and reported as one reconciled amount: Visa Incentive Expense: $113,467, Charge Off Share Expense: $7,200, Less Corporate Owned Life Expense: ($7,176), Less Indirect Lending Expense ($16,113). Net total is $97,378.”

“Audited set of financials has an extra depreciation expense for our ITM terminals that amount to $282,080. In 2021, the credit union made a planned and informed decision to accelerate the depreciation of our interactive teller machines by year end of 2021 for the purpose of allocating future expenses for the constructions of a new headquarters. The auditors set of financials has the depreciation scheduled over 60 months.”

“Audited set of financials has two of our expense accounts booked on their financials under income. Visa incentive expense for $113,467 and Charged off share items expense for $7,200. Audited set of financials has two accounts that they booked as expenses that we booked under income on our financials. Corporate owned life insurance expense is $7,176 and Indirect Lending Expense of $16,113. On First Central's books, both items are expenses but are netted out of our income. The net of all four items are as followed and reported as one reconciled amount: Visa Incentive Expense: $113,467, Charge Off Share Expense: $7,200, Less Corporate Owned Life Expense: ($7,176), Less Indirect Lending Expense ($16,113). Net total is $97,378.”