SCRANTON, Pa. — The former CEO of Valor Federal Credit Union, formerly known as Tobyhanna Federal Credit Union, was charged with executing a scheme to defraud the credit union of approximately $718,000 to pay for his personal credit card, college tuition, his wife’s birthday party, and a golf tournament sponsorship, the U.S. Attorney’s Office for the Middle District of Pennsylvania announced last Wednesday.
Filed in the U.S. District Court there, the complaint charges Sean E. Jelen, 33, of committing and attempting to commit a series of fraudulent activities. He was also charged with rigging elections held for the Valor board of directors, “whereby he elected and subsequently impersonated fictitious members of the board of directors and its supervising committee,” stated the U.S. Attorney’s Office’s press release.
Jelen was also charged with attempting to obtain another $1.1 million by forging a severance contract that would be triggered by his termination.
The complaint seeks forfeiture of property obtained as a result of the fraud, including a residence located in New York. The government also filed a plea agreement with Jelen to the alleged charges, which is subject to approval of the court. A date for his initial appearance has not been set.
Jelen was appointed president and CEO of Valor in 2012 at the age of 29. He began his fraud in July 2014 and continued his scheme until August 2015, the same month Valor terminated his employment.