Former Saginaw credit union CEO sentenced to prison for embezzli - WNEM TV 5

Former Saginaw credit union CEO sentenced to prison for embezzling $700K

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Source: Michigan Attorney General Source: Michigan Attorney General
LANSING, MI (WNEM) -

A former Saginaw-area credit union CEO was sentenced to spend up to 20 years in prison for embezzling more than $700,000.

Stanley Hayes, 45, pleaded guilty to more than a dozen charges after authorities say he embezzled the money for personal use.

Hayes was charged in June 2017 after stealing more than $710,000 from Valley State Credit Union where he worked. He pleaded guilty on Feb. 12.

“In his position as CEO, this man was expected to act in good faith,” Attorney General Bill Schuette said. “Instead he used his position to help pay his personal expenses. This man’s actions not only broke the trust given to him but also broke the law and now he is facing the consequences.”

Investigators said from 2005 until his termination in 2016, Hayes used money embezzled from the bank to pay for his insurance, property taxes, travel and other personal expenses.

Money also concealed the financial difficulties the credit union was facing. Investigators said Hayes used embezzled funds to pay defaulted loans and even pay on loans held by dead customers.

Hayes was sentenced on the following charges on April 26:

  • Continuing criminal enterprise (racketeering)
  • Two counts of embezzlement by an agent over $20,000-$50,000.
  • Seven counts of embezzlement by an agent over $1,000-$20,000.
  • Three counts of using a computer to commit a crime.

Hayes was ordered to pay $709,000 in restitution.

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