To some, Arrowhead Credit Union had appeared to be mounting up from the base, much similar to the Inland economy, which has shown small indications of progress on the way to recuperation. But, that might not have been adequate to avoid the National Credit Union Administration from grabbing the famous San Bernardino-based credit union on Friday.

San Bernardino Mayor, Pat Morris said that he was not able to  comprehend why Federal controllers intervened to obtain hold of the credit union just when it was starting to come out from a "grand canyon of problems" led by the slump, which impinged on the area more than the others.

"We're in a world of hurt here", he said, after reciting the figures that afflict his city, massive number of houses in foreclosure, a soaring rate of joblessness, a climbing budget shortfall.

The organization earned $2.6 million in revenues in its last quarter, but its net worth ratio, an estimate of a credit union's condition, was far lower than what watchdogs sought after.

John McKechnie, Spokesman for the National Credit Union Administration, repeated on Saturday that Arrowhead Credit Union was taken over on Friday, due to its waning fiscal condition.