of Office of the Comptroller of the Currency (OCC) has completed enforcement actions against 11 former individuals. wells fargo senior bank executives.
The three enforcement actions announced Tuesday (January 14) stem from administrative litigation initiated by the OCC. Notice regarding fees The lawsuit was filed in January 2020 and was the last of 11 such lawsuits, the regulator said in an announcement Tuesday. press release.
“The decision made today describes how thousands of the bank's employees engaged in widespread sales practices fraud under pressure to meet unreasonable sales targets,” the release said. has been done.
The latest enforcement action involves three former senior executives at Wells Fargo Bank in North Dakota and Sioux Falls Bank in South Dakota and their conduct from 2013 to 2016, according to the announcement.
The OCC's decision found that unsafe or unsound banking practices, such as failing to challenge a bank's incentive compensation program or failing to manage audit activities to discover and document fraudulent sales practices, The statement said it was determined that this had occurred.
The three executives were ordered to pay civil fines. 10 million dollars, 7 million dollars and $1.5 millionaccording to the release.
Eight other former Wells Fargo Bank senior executives with whom the OCC reached settlements in earlier enforcement actions paid civil penalties totaling approximately $43.2 million, according to the announcement.
Wells Fargo was fined by the OCC. Consumer Financial Protection Bureau At issue in both the OCC and CFPB cases was Wells Fargo's sales culture and whether employees were forced to meet sales goals by any means necessary, PYMNTS said. It was reported at the time.
In February, the OCC revoked a 2016 consent order against Wells Fargo regarding deficiencies and unsafe or unhealthy practices in the bank's risk management and sales practices.
The OCC's order terminating the consent order states, “The OCC believes that the bank's safety and soundness and compliance with laws and regulations do not require its continuation.”
Wells Fargo said in a press release at the time that the sales practices misconduct consent order required banks to rethink how they sell products and services.
