Lakewood Man Sentenced To Seven Years In Prison, Ordered To Pay $7 Million For Defrauding Euclid Credit Union

A Lakewood man was sentenced to more than seven years in prison and ordered to pay nearly $7 million in restitution for embezzling from a Euclid credit union and using the money to pay his personal credit card accounts, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland office.

William J. Memmer, 63, pleaded guilty earlier this year to one count of embezzlement and one count of making false entries in credit union records and reports.

“This defendant betrayed the trust of the credit union’s members and his employer,” Dettelbach said. “He simply took other people’s money to pay his debts. Now he’ll pay his debt to society.”

“This lengthy sentence is reflective of the magnitude of Mr. Memmer’s embezzlement and fraud he orchestrated for numerous years,” Anthony said. “Citizens should have a sense of trust that their investments are safe and the FBI will continue efforts to root out greedy fraudsters like Mr. Memmer.”

Memmer was employed as Assistant Manager/Treasurer of the GIC Federal Credit Union (GIC), which maintained an office at 26255 Euclid Avenue, in Euclid, Ohio. 

From as early as 2006, Memmer maintained approximately 15 credit card accounts. He took blank GIC checks and drafted them payable to the credit card companies in payment of his personal obligation, then concealed the taking of the checks and embezzlement of the GIC funds. These actions caused a loss to the credit union of at least $1,843,007, according to the information.

As early as 2003, Memmer falsified quarterly financial reports to hide operating losses.  He is also alleged to have falsified confirmations of GIC assets by as much as $5.7 million, according to the information.

Upon discovery of the fraud, the National Credit Union Administration closed GIC, and began the liquidation process. 

The case is being prosecuted by Assistant U.S. Attorney James V. Moroney, following investigation by agents of the Federal Bureau of Investigation’s Cleveland Office.