by John Galt
September 12, 2016 19:45 ET
Apparently Wells Fargo has adopted this as their corporate philosophy:
Yeah, it’s that bad.
Via Gizmodo today:
Yup, you read that right boys and girls. You can oversee the commitment of gross and obvious fraud against 2 million customers and get paid damned well.
A brief excerpt from the article:
Wells Fargo executive Carrie Tolstedt will receive a $124.6 million payday when she retires at the end of this year, despite overseeing the department accused of scamming millions of customers and incurring hundreds of millions in fines.
On Thursday, Federal regulators slapped Wells Fargo with $185 million in fines after discovering that employees were guilty of regularly inflating sales figures by opening new accounts and transferring money from customer accounts without their expressed permission.
The scam—known internally as “sandbagging”—was part of standard operating procedure since at least 2011 and was regularly used by employees to boost sales figures. Employees opened unauthorized accounts and transferred money from customer accounts without expressed permission. Victims of the scam were forced to pay ghost charges of about $50 in fees they were not responsible for creating. Wells Fargo collected an estimated $2.6 million in fees from customers through the scam.
The Consumer Financial Protection Bureau (CFPB) discovered more than 5,300 employees had been fired since 2011 for “improper sales practices” that included transferring customers’ money into new unauthorized accounts. The CFPB also discovered that Wells Fargo employees regularly signed customers up for credit cards, online banking, and activated debit cards without their permission. The CFPB slapped the bank with a $100 million fine (in addition to fines from other federal regulators).
So if anyone here is that stupid to believe that a Federal Reserve voting member bank was fined $185 million plus paid this woman approximately $125 million and only made $2.6 million in fees, you’re a moron. If one is to believe they only collected a little over $2.6 million in fees but paid over $300 million in fines, well, Hillary only has the sniffles then and Trump is the most brilliant Yugest candidate in American history.
In other words, it is total bullcrap.
The “earnings on fees” were for the initial fraud; what is unknown at this time is how much more was made off of these
suckers, er, customers who decided to keep the credit lines and use them. Worse, there is no data about the possibility of 2nd mortgages or other more exotic loan packages being approved in the names of the millions of customers impacted by this. Good thing one of Obama’s best contributors was a large investor in Wells when all of this occurred or someone might have actually been arrested or gone to jail!
How’s that Dairy Queen thing working out for you Warren you crony capitalist, by the way?
I just wonder if she gets to kill the stupid network printer in her office on the way out…