NORTH LITTLE ROCK, Ark. — The former chief executive of a small Arkansas credit union has asked a federal judge to overturn the National Credit Union Administration’s decision to place People Trust Community Federal Credit Union into conservatorship, a step the regulator says was necessary because of “unsafe and unsound practices.” It is currently being served by Arkansas FCU.
As the CU Daily reported here, just three years after it was chartered and with a 2% net worth ratio, NCUA took over PTCFCU in mid-January.vThrough Sept. 30, 2025, the $3.27-million People Trust FCU reported a $356,506 loss
CU Has Nearly 2,000 Members
Arlo Washington filed the lawsuit Jan. 23 in the U.S. District Court for the Eastern District of Arkansas, naming the National Credit Union Administration Board as defendant. The docket lists the case as Washington v. National Credit Union Administration Board, No. 4:26-cv-00083, and reflects Washington’s complaint as the initiating filing.
People Trust Community FCU has 1,796 members.
In the filing, Washington is disputing the reasons given by NCUA for the conservatorship, and he cited numerous other reasons for the challenges it has faced.
