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[Note: This material is copyright by The Gazette, and is reproduced here as a matter of "fair use" for non-commercial, educational purposes only. Any other use may require the prior approval of The Gazette.]

  Credit union members narrowly voted Oct. 4 to change the institution’s name to Optiva Credit Union. Opponents of the change claimed the election was conducted illegally; they brought their concerns to the Iowa Division of Credit Unions.

  In a statement, opponents said the regulatory body concluded that some ballots had been accepted before the 6 p.m. meeting started. They cited an Iowa code stating that changes in credit union bylaws must be ‘‘‘amended by a favorable vote of a majority of members present at a meeting.’’

  In spite of those findings, the regulatory agency declined to involve itself in internal governance matters, the statement said, leaving it to members to challenge the election by petition.

  ‘‘The name is stupid, but that’s not what this is about,’’ petitioner Tim Taffe of Iowa City said.

  Taffe said there were objections to the sums being spent with an outside consultant, Weber Marketing Group, to rebrand the credit union in an effort to appeal to a broader base of members, in spite of the fact that two-thirds of the credit union’s members are not affiliated with the University of Iowa. The significant number of businesses in financial and other fields already using the name Optiva also is a concern, Taffe said.

  The opponents said they are seeking an election Feb. 28. The name change is scheduled to go into effect March 1.

  Credit Union President and CEO Jeff Disterhoft has said the procedural issue will not affect the outcome of the vote. Disterhoft said the credit union requested guidance from the office of James Forney, Iowa credit union superintendent, on the legality of accepting ballots before the start of the membership meeting.
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Gazette Financial Editor George Ford contributed to this story.