Following the discovery of internal theft by two employees, Wauna Federal Credit Union has tightened security.

But Executive Vice President Debi Smiley said the credit union had been increasing security anyway.

Smiley’s comments followed Monday’s hearing for Jennifer Stacey and Julie Dunaway, when the pair was sentenced to jail time for felonies they committed while employees of Wauna Federal. Each was convicted of two counts of first degree theft and two counts of computer crimes for making loans to each other – and to family members – when they otherwise wouldn’t qualify.

Smiley said this was an isolated incident. Wauna has taken steps – implementing policies and procedures – to insure that future employees will not be able to take advantage of the financial institution, she said.

Many of these steps have been in place since after Stacey and Dunaway were hired, but before the theft was discovered.

She said Wauna Federal has implemented multi-layered security features – done by multiple people and systems and constantly monitored – to employee auditing, loan processes, online banking, phone banking and internal security systems, though for security purposes, the specific measures couldn’t be disclosed.

Before this incident, but after the women were hired, Wauna had implemented a new hiring process with background checks, credit reports and drug testing.

“The background checks are more comprehensive since the discovery,” she said. “Since the incident, a lot of the focus has been monitoring.

“The internal checks are more thorough, more people are involved. We’re taking measures above and beyond.”

A software conversion has also enhanced security.

Smiley said Wauna Federal accounts are insured by the National Credit Union Association, which serves as a regulator for the credit union system. Certain accounts can be insured for as much as $900,000, though the standard coverage is $100,000 and some Individual Retirement Accounts can be insured for $250,000.

Justin Grove, a NCUA spokesman, said the agency does its best to assure any members of the safety of credit unions.

“The credit union system is safe and sound and robust,” he said. “They (owner/members) can be 100 percent assured they are safe.”

He also said it is in the best interest of credit unions to hire and evaluate employees of the highest level of integrity, competence and capability.