Items Tagged with 'fake accounts scandal'

ARTICLES

  • Wells Fargo inks new $240 million settlement over execs’ knowledge of fake accounts

    But this settlement will see the bank get paid
    Well, it’s been about two months since Wells Fargo reached a nine-figure settlement over its recent scandals, and that means it must be time for another one. The bank revealed recently that it agreed to a new $240 million settlement over claims that its executives did not do enough to address the issues that led to the bank’s fake accounts scandal. But unlike the bank’s previous settlements over the fake accounts, this settlement will see the bank get the money instead of paying it out.
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  • Wells Fargo reaches $575 million settlement with all 50 states for recent scandals

    Settles for fake accounts, auto insurance, mortgage interest locks
    It’s been a rough couple years for Wells Fargo as scandal after scandal is revealed. Now, the bank announced a $575 million settlement with all 50 state attorneys general and the attorney general for the District of Columbia regarding some of its previously disclosed scandals.
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  • Court approves Wells Fargo’s $480 million settlement for allegedly lying about fake accounts

    Shareholders accused bank of lying about “cross-selling” tactics
    Wells Fargo will pay $480 million to a group of the bank’s shareholders as part of a class action settlement for allegedly lying about the sales practices that led to the bank’s massive fake accounts scandal. The shareholders claimed that the bank and its executives made “misrepresentations and omissions” about the bank’s “cross-selling” business model, where bank employees were rewarded for getting customers to open up multiple accounts.
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  • More trouble for Wells Fargo? Top execs take “leave of absence” amid ongoing investigations

    Chief administrative officer, chief auditor removed from bank’s operating committee
    Wells Fargo’s troubles appear to be far from over. The once-impenetrable megabank announced Wednesday that two of its top executives are taking “leaves of absence” for an unspecified length of time and will no longer serve on the company’s operating committee. According to the bank, their leaves of absence are related to “previously disclosed ongoing reviews by regulatory agencies in connection with historical retail banking sales practices.”
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  • Wells Fargo to pay $65 million for allegedly lying to investors about fake accounts

    Reaches settlement with New York over millions of accounts opened without customer authorization
    Wells Fargo's had a rough last few years, and it doesn't appear be getting any better. New York Attorney General Barbara Underwood announced Monday that the megabank has been ordered to pay a $65 million penalty, , following an investigation into the bank's controversial "cross-selling" tactics, which led to the bank opening millions of accounts in customers' names without their permission.
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  • New Mexico sues Wells Fargo for opening up fake accounts

    Attorney General Hector Balderas follows through on threat to sue bank
    Back in November, New Mexico Attorney General Hector Balderas threatened to sue Wells Fargo over the bank allegedly opening up thousands of fake accounts in the state’s residents' names, and now, Balderas is following through on that threat.
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  • Fake accounts scandal still curbing Wells Fargo earnings

    Mortgage banking revenue falls in Q2
    Wells Fargo’s latest earnings report shows the bank continues to struggle with its fake accounts scandal, which began back in 2016. And not only did the bank report a lower net income, but the latest earnings report shows it also continues to struggle with mortgage banking revenue, even as originations increase.
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  • Court finally approves Wells Fargo’s $142 million fake account class action settlement

    It’s finally final
    A federal court has finally given final approval to Wells Fargo’s $142 million class action settlement for the bank’s customers who had a fake account opened in their name. The final approval comes nearly a year after the settlement received preliminary approval by the judge overseeing the lawsuit, and more than a year after the settlement was first announced.
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  • Wells Fargo agrees to pay $480 million to shareholders to settle fake accounts suit

    Settlement reached in pending class action suit over bank’s sales practices
    The fallout from Wells Fargo’s fake accounts scandal is not finished yet. The bank announced Friday afternoon that it reached a new settlement over its sales practices and will pay $480 million to a group of shareholders who accused the bank of making "certain misstatements and omissions" in the company’s disclosures about its sales practices.
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