Auto loans at my credit union appear to be secured by cars that were sold. Could this be loan fraud?

Location: Utah

I work at a small credit union and came across something that seems really off, but it’s complicated enough that I want outside opinions before jumping to conclusions.

Here’s what I’m seeing.

There are two auto loans under an extended family member of the CEO.

Loan #1:

The purchase agreement for the car actually shows the CEO’s name on it, even though the loan itself is under the extended family member’s account. The CEO was also the loan officer who originated the loan.

At one point our credit union did have the title for that vehicle, but the car has since been sold and the loan is still on the books like it’s a normal secured auto loan.

Loan #2:

Another auto loan under the same extended family member. This one appears to be missing important documentation, and I can’t find evidence that the credit union ever actually had the title for that vehicle.

Then I noticed something under the CEO’s wife’s account.

There’s an auto loan where when I run a title search, that VIN shows a lien at another credit union, and from what I can tell that vehicle has also been sold nearly a year ago.

So right now it looks like:

•	Two auto loans under an extended family member of the CEO

•	One loan has a purchase agreement showing the CEO’s name

•	The CEO was the loan officer on at least one of these loans

•	One loan appears to be missing key vehicle documentation

•	A separate auto loan under the CEO’s wife where the VIN shows a lien somewhere else

•	No titles currently on file for any of the three loans connected to the CEO

•	Two of the vehicles appear to have already been sold

Yet the loans are still sitting in the system like they’re normal secured auto loans.

Also important context: the previous CEO of this same credit union was fired for embezzling, so the place already has a history of major issues.

Normally I would go to the board or supervisory committee, but honestly I don’t trust that route. The board members are all very close with the CEO and I honestly think they might already know about some of this.

I’ve thought about reporting it to regulators, but I’m also worried about retaliation. It’s a small credit union and realistically there are only two employees who would even have access to the information I’m seeing, so it wouldn’t be hard to guess who reported it.

My questions:

1.	Is this something that could just be sloppy documentation, or does this start looking like insider lending abuse or misrepresented collateral?

2.	Would regulators normally take something like this seriously?

3.	If someone reported something like this, what realistically happens?