Credit Union 'Appalled and Dismayed' by $20M Embezzlement

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CLARKSTON, MI – An Independence Township credit union official said Tuesday she is “appalled and dismayed” after learning its former chief financial officer, Michael LaJoice, embezzled more than $20 million over 12 years, but reassured members that their accounts are safe.

LaJoice, 35, of Fenton, turned himself to authorities at the Oakland County Sheriff’s Office headquarters in Pontiac on Jan. 6 and admitted the thefts from the Clarkston Brandon Community Credit Union, where he has been the CFO since 2003. He has been charged with 14 counts of embezzlement.

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The credit union said in a statement that it discovered the financial irregularities on Jan. 4 and confronted LaJoice, who failed to show up for work the next day. He was immediately fired.

“Our first and most important priority is expressing our profound regret to our members and the community that this crime occurred and was not uncovered sooner,” Donna Bullard, president and CEO of the credit union, said. “During the entirety of LaJoice’s employment, Clarkston Brandon Community Credit Union has had regular examinations and audits that were conducted in accordance with the Michigan Credit Union Act.”

The Oakland County Sheriff’s Office, state regulators and the National Credit Union Association are continuing to investigate “to learn the full extent of the crime and how it remained undetected,” Bullard said. “We are working around the clock in full cooperation with authorities to see that every detail of this egregious situation is revealed, and justice is served.”

If convicted of the charges against him, LaJoice could face up to 20 years in prison on each charge, and be subject to hundreds of thousands of dollars in fines. He remains held in the Oakland County Jail on $1 million cash/surety bond. If he is released, he must wear a GPS tether and will be on house arrest.

LaJoice was known for his generosity, once paying $4,000 for a pie at a church festival bake sale, and offering to match contributions made at an area food bank fundraiser in March 2014.

He earned $65,000 annually, yet lived in a recently renovated $1.3 million, 5,800-square-foot home in Fenton; owned a Chasse ballroom and dance studio in Fenton and planned to build several more; and paid $1.2 million last year for a property where he planned to build a six-story Riverview project that would include a dance studio, fresh food market and 53 condominiums and create 200 jobs in the Fenton area.

“His lifestyle is like something out of the ‘Rich and Famous’” assistant Oakland County prosecuting attorney Rob Novy said during LaJoice’s video arraignment in 52nd District Court in Clarkston Friday. “His home includes a private nine-seat movie theater ... high-end appliances ... things that could not have been purchased on his salary.”

LaJoice’s pre-exam conference is scheduled for Jan. 20 and his preliminary exam is scheduled for Jan. 26, both in the Clarkston court.