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Features/Scandals

Wells Fargo Pressed for More Answers on Sales Practices

December 23, 2016

Senate Democrats demanded that the Wells Fargo Board of Directors respond to unanswered questions related to its sales practices scandal. The senators asked for more information about its continuing independent investigation of the alleged account fraud.

 

In this latest letter, the Senators also asked the board for the following additional information: (i) timeline of when its members learned of the questionable sales tactics; (ii) actions taken by the board to address the problem; and, (iii) reasons why it didn’t investigate sooner. The deadline for a response is 1/7/17.

 

The Wells board announced its independent investigation in late September, along with moves to rescind a collective $61 million in pay from now-former CEO John Stumpf and former retail banking head Carrie Tolstedt.

 

A person familiar with the board said Thursday that it previously responded to earlier letters from some of the Democratic senators that included some of the same questions.

 

In addition to Sen. Brown, the latest letter was jointly submitted by Sens. Jack Reed (D-RI), Bob Menendez (D-NJ), Jon Tester (D-MT), Mark Warner (D-VA), Jeff Merkley (D-OR), Elizabeth Warren (D-MA), Heidi Heitkamp (D-ND) and Joe Donnelly (D-IN).