{"id":4689,"date":"2023-03-23T14:55:47","date_gmt":"2023-03-23T14:55:47","guid":{"rendered":"https:\/\/jhcolorpowdercoating.com\/?p=4689"},"modified":"2023-03-31T15:49:35","modified_gmt":"2023-03-31T15:49:35","slug":"wells-fargo-releases-report-on-bogus-fraud-scheme","status":"publish","type":"post","link":"https:\/\/jhcolorpowdercoating.com\/wells-fargo-releases-report-on-bogus-fraud-scheme.html","title":{"rendered":"Wells fargo releases report on bogus fraud scheme"},"content":{"rendered":"
\"Wells<\/div>\n

Wells Fargo (NYSE: WFC WFCWells Fargo& Co56. 35-0. 23% Created with Highstock 4. 2. 6 ) has publicly released the results of an investigation conducted by its independent directors to expose the company's widespread misconduct.<\/p>\n

Over a period of years, the company's employees created more than 2 million fake accounts in the names of actual customers to increase the banks fee income and meet internal sales goals. When the crime was discovered, the immediate fallout forced the resignation of then-CEO John Stumpf and led to the ouster of retail banking chief Carrie Tolstedt. Now the company has decided to pay back 75 million US dollars that the two had received as compensation.<\/p>\n

I thought of the directors' investigation, which was assisted by an outside firm. The bank tried to find out why and how the forgery concession came about in the first place and why it became so astonishingly high. The group conducted the investigation, conducted hundreds of interviews and found, among other things, that Tolstedt and Stumpf were not interested in changing the company's sales structure or acknowledging their potential problems, Consumerist reported.<\/p>\n

What was discovered?<\/h2>\n

Basically, the 113-page report shows that the company had a flawed culture that combined with its system of managing and measuring performance to encourage cheating. The opening section set the issue.<\/p>\n

The primary cause of sales practice failures was the distortion of Community Bank's sales culture and performance management system, which, combined with aggressive sales management, put pressure on employees to sell unwanted or unneeded products to customers. , To open unauthorized accounts.<\/p>\n

In addition, the investigation showed that the bank's decentralized corporate structure gave too much autonomy to the senior leadership of its community banking segment. "Community bank leadership resisted and prevented oversight or supervision. and nature of the problem.", wrote the investigators.<\/p>\n

That's a pretty damning finding, and it takes some blame away from the rank-and-file employees who faked the accounts and put it squarely on management. Stumpf, in particular, may have known about the fraudulent practices for nearly a decade, but he consistently minimized concerns and tried to categorize it as a problem limited to a few bad employees.<\/p>\n

What happens next?<\/h2>\n

The report outlined all the actions taken since the inaction was uncovered. This includes some management changes, of course, but they go deeper than that.<\/p>\n

Wells Fargo replaced and reorganized community bank leadership. It also eliminated sales targets and reformed incentive compensation. Accelerating centralization of tax functions. The board separated the roles of president and CEO, strengthened the charters of board committees, and established regular reporting to the board through the new Office of Ethics, Oversight and Integrity.<\/p>\n

The company also terminated five senior executives for cause and imposed warnings, clawbacks and compensation adjustments on the executives totaling more than $180 million. For the public, it will likely be a matter of time rather than concrete action before consumers trust the bank again.<\/p>\n

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David and Tom just revealed what they believe are the best 10 stocks investors can buy right now … and Wells Fargo was not one of them! That's right – they think these 10 stocks are even better buys.<\/p>\n","protected":false},"excerpt":{"rendered":"

Wells Fargo (NYSE: WFC WFCWells Fargo& Co56. 35-0. 23% Created with Highstock 4. 2. 6 ) has publicly released the […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[14],"tags":[],"yoast_head":"\nWells fargo releases report on bogus fraud scheme - Jhcolorpowdercoating<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/jhcolorpowdercoating.com\/wells-fargo-releases-report-on-bogus-fraud-scheme.html\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Wells fargo releases report on bogus fraud scheme - Jhcolorpowdercoating\" \/>\n<meta property=\"og:description\" content=\"Wells Fargo (NYSE: WFC WFCWells Fargo& Co56. 35-0. 23% Created with Highstock 4. 2. 6 ) has publicly released the […]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/jhcolorpowdercoating.com\/wells-fargo-releases-report-on-bogus-fraud-scheme.html\" \/>\n<meta property=\"og:site_name\" content=\"Jhcolorpowdercoating\" \/>\n<meta property=\"article:published_time\" content=\"2023-03-23T14:55:47+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-03-31T15:49:35+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/jhcolorpowdercoating.com\/wp-content\/uploads\/sites\/672\/2023\/03\/brunnen-fargo-veroffentlicht-bericht-uber_1.jpg\" \/>\n<meta name=\"author\" content=\"admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/jhcolorpowdercoating.com\/wells-fargo-releases-report-on-bogus-fraud-scheme.html\",\"url\":\"https:\/\/jhcolorpowdercoating.com\/wells-fargo-releases-report-on-bogus-fraud-scheme.html\",\"name\":\"Wells fargo releases report on bogus fraud scheme - 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