Chad & Leigh Bridges split!
Justice is coming soon for Leigh Bridges. National Credit Union Administration Board Alysson Mills stated in a flurry of motions filed Friday that she expects Leigh will soon plead guilty to federal charges for fraud and embezzlement. Bridges was the President of the Jackson Area Federal Credit Union but was terminated for allegedly embezzling tens of millions of dollars. NCAUB filed a clawback lawsuit against Bridges and her husband Chad in U.S. District Court in May.
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| The $2 million home with the Steinway |
NCAUB asked the U.S. District Court to impose a trusteeship on the Bridges' homes Friday. Chad and Leigh own homes at 3826 Sleepy Hollow (Jackson), 2085 Great Southern Road (Hazelhurst), 29500 Perdido Beach Boulevard Apt. 702 (Orange Beach, AL), and 257 Eastbrook Street (Jackson). The couple owns another home on the Honduran island of Utila. The motions make no mention of the Honduran home where the Court likely has no jurisdiction. The court file is published at the bottom of this post.
Leigh's attorney estimates the Sleepy Hollow residence is worth at least $2 million while the Eastbrooke condo is worth $450,000. An NCUAB official stated in an affidavit the Bridges were delinquent on condo association fees at the Orange Beach residence to the tune of $6,636.
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NCUAB took out an insurance policy for the Sleepy Hollow residence and its contents through Lloyd's of London. The plaintiff said it is spending $3,600 per day for "24/7 armed security" at the Sleepy Hollow residence to comply with the policy. The Court allowed the plaintiff to inventory the items in the home and remove them to a secure location. The plaintiff did so but the infamous Steinway piano and other property remain at the home. NCUAB states it can not exclude people from the residence and reset the alarm without title to the property.
If the Court appoints NCUAB as trustee for the property, the plaintiff can take possession of the property and discontinue the security service. NCUAB spent $225,652 on security as of August 20. The plaintiff spends another $5,000 for storing the jewelry, handbags, and other items at an undisclosed location.
Although Leigh agreed to transfer the property to NCUAB, Chad refused to do so unless NCUAB releases the lien on his retirement account so he can pay for living expenses and attorney's fees.
The motion dishes up some new information. Jackson Area Federal Credit Union has a deficit of at least $95 million. At least $26.8 million of JAFCU funds were run through the Bridges' account at the credit union from 2019 to 2026. The plaintiff claims the combined values of the properties and vehicles would not "even satisfy a $26.8 million judgment."
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| Leigh & Chad Bridges |
The motion's supporting memorandum gives the impression the couple split:
Neither of the Bridges currently resides at the Sleepy Hollow residence. Chad Bridges is renting an apartment and Leigh Bridges is residing at the Eastebrooke residence with the NCUAB’s permission.
The plaintiff concludes by calling out Chad's demand that he will consent only if the lien on his retirement account is removed. Chad, the motion argues, should file a motion addressing the lien instead of objecting "without basis to an unrelated issue."
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NCUAB also took issue with Leigh's request for a stay of proceedings. Leigh stated in a motion to stay filed two weeks ago she met with the Justice Department and expected to waive indictment and accept a bill of information for embezzlement from a federally insured credit union and making false statements to NCUAB.
Although no criminal action has been filed against Leigh, the plaintiff argues "It is the rule, rather than the exception that civil and criminal cases proceed together." Whether Leigh is indicted or enters a bill of information is "speculation." No overlap can be determined because none exists.
NCUAB argues it is a bill of information, not an indictment, that appears "imminent." A bill of information is filed only if Leigh pleads guilty. Thus she would be entering a plea agreement instead of "defending a criminal case," erasing any need for a stay. A guilty plea waives her Fifth Amendment rights, thus rendering her motion for a stay moot. Granting even a short-term stay will only drive up costs for the credit union. If the Court approves a stay, such a stay should only be applied to any discovery from Leigh. Motions for summary judgment should be allowed.
Attorney John Colette represents Leigh while Tad McCraney, Esq. represents Chad. Attorney Alysson Mills represents the plaintiff. The case is assigned to U.S. District Judge Daniel Patrick Jordan.
Synopsis
Leigh Bridges is the former President of the Jackson Area Federal Credit Union. She became President of the credit union in 2021 after serving as CFO. The President signed all financial statements and handled all account reconciliations for wire transfers. The National Credit Union Administration Board terminated Bridges after it uncovered the alleged embezzlement. The credit union accused her and her husband Chad of embezzling between $55 and 95 million.
NCUAB sued the Bridges in May. U.S. District Judge Daniel P. Jordan, III issued a temporary restraining order against the Bridges in May and froze all assets at the request of the plaintiff.
The complaint claims Leigh Bridges doctored the books while looting her employer of tens of millions of dollars. NCUAB alleged Leigh made bogus automated clearing house entries, wired large sums of money to her personal accounts as well as luxury retailers such as Tiffany's, and made fraudulent entries in the general ledger. The couple used their share accounts at the credit union to further the alleged fraud. Their lifestyle was so posh Mississippi Magazine featured their home.
The parent credit union accused Leigh of making over $51 million in false entries in the couple's share accounts from 2015 to 2026. (Read the complaint as it spells out in great detail how the money was spent. Earlier post with copy of complaint and list of the loot.)
Judge Jordan issued a preliminary injunction freezing the Bridges assets in July. NCUAB is the trustee for the assets and is allowed to seize any asset it determines were purchased with stolen funds.
The complaint charges the Bridges with fraudulent misrepresentation (Leigh), Fraudulent misrepresentation - financial transactions (Leigh), conversion of JAFCU funds (Leigh) , Breach of fiduciary duty (Leigh), personal liability under 12. U.S.C. 1787 (Leigh), Fraudulent transfers (Leigh), Fraudulent transfers (Chad), Enforcement of constructive trust (Both defendants),
Mills added Tina Funez as a defendant in June. Employed at JAFCU since 2006, Funez became a branch manager in 2023. How did Funez figure into the alleged scheme? Keep reading.
The Loot
* $15 million to pay personal credit card bills from January 2025 to March 2026. The payments included $14.4 million to American Express, $531,444 to Apple Card, and $68,871 to Chase card.
* $3.3 million for purchases at Brooks Collection, a Jackson luxury jewelry and handbag store. December 2022 to March 2026
* $906,704 to Craig Wilkinson Inc, a construction company. July 2019 to July 2024
* $250,184 to Courtney Peters Interior Design. July 2019 to January 2024
* $129,300 to purchase a Steinway piano. March 2019 to March 2026.
* $127,870 for two Mercedes-Benz vehicles in 2019 and 2020
* $45,956 to Brown Fine Arts from March 2019 to March 2026
* $84,325 to Cox Pools from March 2019 to March 2026
* $273,400 to Coinbase Global in 2021
* $295,000 to Joseph Gad Inc. a luxury diamond & colored gemstone jeweler in New York City. January 2021 to March 2026
* $66,571 to purchase a Tesla in March 2023
* $41,500 to Graziela Inc, a luxury jewelry in Illinois
* $378,780 to Tiffany (of course) in New York City in April 2024
* $20,130 to Chung P. Luk in Hong Kong in August 2023.
* $617,507 to Premier Prive in Palo Alto, CA. Used to purchase jewels from luxury jeweler Circa Jewels. January 2021 to March 2026
* Funds used to purchase, furnish, and improve home at 3826 Sleepy Hollow in Jackson, 2085 Great Southern Road in Hazlehurts, 257 Eastbrook St. in Jackson, and of course, 29500 Perdido Beach Boulevard Apartment 702 in Orange Beach.
* $13.8 million to Chad Bridges from May 2019 to May 2026. The money was used to fund several of the purchases above.
* $200,000 transferred to Leigh's family members through Chad's share account.
Note: Posted below is the court file.
p.1: Urgent motion to impose trusteeship
p.5: Email exchange exhibit, affidavit
p.12: Leigh Bridges answer to complaint
p. 22: Leigh Bridges supporting memo for answer
p. 30: Leigh Bridges motion to stay
p.33 Chad Bridges answer
p. 66: Leigh Bridges supporting memo for motion to stay
p.75: Order granting preliminary injunction
p. 89: Amended complaint adding Tina Funez
p. 118: Plaintiff's motion for preliminary injunction
P. 122: Affidavit of compliance officer who detected embezzlement
p. 132: Declaration of JAFCU Board member Rick Hill
p. 135: Affidavit of credit union examiners
p. 149: Original complaint
p. 170: Temporary restraining order
p. 175: Plaintiff's motion for TRO
7 comments:
If you're having rich people's problems on a Dollar General income things never end well..
So Credit Unions & banks not use Independent auditors? Banks and credit unions both turn blind eyes to fraud whether it is an employee or customer to divert their accountability. Then usually passing loss on to consumers through fees as only a part of the money loss is covered. Shame on all of you greedy people. Madoff’s included!
Where is Tina Funez now?
$250k for pushing paper. Collette getting paid.
$3.600 a day for security? Someone else has decided to pocket a little of the money also.
As long as defense counsel gets paid-
The couple owns another home on the Honduran island of Utila
Yeah, because that is normal for Americans.......
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