OCC Sanctions Former Wells Fargo CEO, Other Executives, in Fake-Account Scandal
January 23 2020 - 02:07PM
Dow Jones News
By Rachel Louise Ensign and Ben Eisen
A regulator barred former Wells Fargo & Co. chief executive
John Stumpf from the banking industry over the firm's fake-account
scandal, a remarkable downfall for a top executive at a big
bank.
Mr. Stumpf agreed to the ban in a settlement with the Office of
the Comptroller of the Currency. He also agreed to pay $17.5
million. The firm's former chief administrative officer and chief
risk officer also settled similar charges and will pay a combined
$3.5 million.
The OCC also charged five other former executives, including
Carrie Tolstedt, who ran the consumer bank during the sales
practices scandal. Those cases are slated to play out in
administrative proceedings.
The OCC said Mr. Stumpf "was or should have been aware of the
problem and its root cause," but that "there was a culture in the
Community Bank that resulted in systemic violations of laws and
regulations."
Write to Rachel Louise Ensign at rachel.ensign@wsj.com and Ben
Eisen at ben.eisen@wsj.com
(END) Dow Jones Newswires
January 23, 2020 13:52 ET (18:52 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.
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