Talk about unintended consequences.
Every big-time banker saw Angelo Mozilo sell off stock and pocket $17 million per week during the final sunset of Countrywide, and then he walked with immunity. Who doesn’t want that package?
These people think they are above the law, and the way the feds ended this chapter will only make other bankers want to hatch their own scheme.
P.S. The long-time Wells Fargo employee who ran the scam was not prosecuted. On no, instead she walked with $125 million in stock options.
Here’s the story:
Disgusting!
I am so sick and tired of these corporate fat cats getting away with fraud like this and then getting multi-million dollar bonuses as a reward!
And that $190 Million dollar fine levied against Wells Fargo is probably tax deductible!
I’m no expert, but I believe as long as none of the suspects tweet something like, “Sorry folks, but *I’m* still gonna call him ‘Bruce Jenner’,” they won’t be prosecuted.
Customers sued Wells Fargo & Co (WFC.N) on Friday, accusing the bank of fraud, negligence, invasion of privacy and other claims related to the alleged opening of sham accounts by bank employees.
The lawsuit, filed in U.S. District Court in Utah, seeks class action status.
They will do the same as they did to Angelo…..nothing
Wells Fargo’s headaches are quickly piling up. The bank is now facing an investigation and hearing from the powerful House Financial Services Committee over the opening of millions of fake accounts.
The chairman of the committee, Rep. Jeb Hensarling, revealed it is launching an investigation and said Wells Fargo (WFC) CEO John Stumpf will be called on to testify at a hearing later this month.
Additionally, the House Financial Services Committee sent a letter to Wells Fargo requesting documents related to the bank’s controversial sales tactics and that corporate officers be made available for transcribed interviews.
Wells Fargo’s headaches are quickly piling up. The bank is now facing an investigation and hearing from the powerful House Financial Services Committee over the opening of millions of fake accounts.
The chairman of the committee, Rep. Jeb Hensarling, revealed it is launching an investigation and said Wells Fargo (WFC) CEO John Stumpf will be called on to testify at a hearing later this month.
Additionally, the House Financial Services Committee sent a letter to Wells Fargo requesting documents related to the bank’s controversial sales tactics and that corporate officers be made available for transcribed interviews.
“I remain concerned that mere financial penalties may not be enough to prevent this from happening again,” Waters said in a statement last week, after Wells Fargo agreed to pay $185 million in fines over the fake accounts scandal.
I remember back in the day when Giuliani was a city prosecutor in NYC, and he had the Feds go into the offices of a brokerage, arrest and handcuff some traders who were insider trading, and led them out of the building, crying.
I think they all beat the rap, but it was fun to see.
That scene in “Wall Street” was based on that event.
https://youtu.be/oYEkzKhFhFM
I’ve been a customer of Wells Fargo since somewhere around 1989. I’m now making plans to leave them over this scandal. I believe the only way things are going to change is if consumers vote with their dollars and stop patronizing bad businesses.
It may soon be a crime to disrespect these job creators. I’m sure they are paying $100/hr for dog walkers in Nob Hill.