COLUMBUS, Ind. — A former credit union branch manager at Centra Credit Union been sentenced to three years in federal prison for stealing more than $381,000 from four members, including an elderly man with dementia.
Teresa Palmer, 55, of Columbus, also was ordered to serve three years of supervised release and pay $381,400 in restitution, the Justice Department said.
Palmer was indicted in July 2025 on four counts of bank fraud and pleaded guilty to two counts July 30 under an agreement with federal prosecutors, according to U.S. District Court records cited by The Republic.
In her plea agreement, Palmer admitted stealing $381,400 from four customers between January 2021 and December 2022. That included $284,608 from an elderly man with dementia and $76,834 from another elderly man who was incapable of managing his own finances.
Hundreds of Unauthorized Transactions
Palmer used her position as a branch manager to conduct hundreds of unauthorized transactions involving customer accounts, according to the plea agreement.
The scheme included withdrawing money from at least four customers’ accounts without their knowledge and fraudulently issuing cashier’s checks bearing forged signatures. Palmer would cash the checks herself or direct other credit union employees to cash them, according to The Republic.
Federal prosecutors said Palmer kept the money for her personal use, including spending some of the stolen funds on gambling.
The credit union fired Palmer in 2022 after discovering that she had forged customer signatures on financial documents, according to the Justice Department.
Member Reports Unauthorized Activity
Shortly afterward, a member reported unauthorized transactions involving her father’s account. An internal investigation determined Palmer had withdrawn money from the account without authorization in addition to forging signatures, The Republic reported.
