Daily Management Review

C.E.O Of Wells Fargo To Surrender ‘$41m’ For Being Involved In The Fake Account Scandal


09/30/2016


The U.S. bank faces a tough month from financial angle.



The Wells Fargo’s C.E.O Stumpf will be losing his “$41m” compensation amount following the “fake account scandal” of the U.S. bank.
 
The ex-head of “community-banking, now retired, Carrie Tolstedt, will also be affected in her pay, for the bank has aims of regaining credibility after facing a “difficult month”. Regulators imposed a fine of $185m on Wells Fargo, once the bank was found to have made “over 2m unauthorised accounts and credit cards” for meeting “aggressive sales targets”.
 
Stumpf will be surrendering “$41m of unvested equity awards” and Tolstedt will give back another “$19m”. The bank, based out of California received heavy criticism in a hearing of “Senate banking committee” that took place last week. Moreover, as many as “5,300 employees were fired” following the scandal, while top-level authorities did not face “any action”.
 
Furthermore, Digitallook also informed that:
“During an internal inquiry into the alleged fraud, Stumpf will not receive a salary”.
 
The House Financial Services Committee also summoned Stumpf for questioning sessions. Amid the growing pressure, Stumpf has been called for standing down for the malpractice by “various commentators”. Stumpf admitted that he “violated” the customers’ trust while he denied that Wells Fargo’s “executives directed employees to create fake accounts”.
 
 
 
 
References:
http://www.digitallook.com/







Science & Technology

Europe overtakes US by number of patents for self-driving car technologies

Samsung introduces display technology for folding screens

How retailers use technologies to increase sales

Facebook releases videochat devices Portal and Portal Plus

Smartphone makers will pay for pre-installing Google apps‍

Five loudest data leaks

Airbus announces Moon exploration competition

Former Head Of Google China Thinks Funding In AI Should Be Doubled By US

Germany Introduces The First Ever Train To Run On 100% Hydrogen

Germany Plans On Cyber Security Research To End Reliance On U.S. Tech

World Politics

World & Politics

Brexit Negotiators Of Both Parties Close Down On Irish Border Text, Reports RTE

Bloomberg: Theresa May can face catastrophic defeat in parliament

New Asian Foreign Policy May Be Set By Congress After Democrats Taking Control Of House

Italy refuses to change draft budget

Italy is about to tighten its migration policy

Macron calls to create a pan-European army

Signals Of Mending Of US-China Emerge Before Anticipated G20 Meet

Moscovici: the European Commission may impose sanctions on Italy