Aggressive sales tactics at Wells Fargo Bank, already the subject of a lawsuit filed by L.A.’s city attorney, appear to have drawn the attention of federal regulators.
The Office of the Comptroller of the Currency and the San Francisco Federal Reserve areprobing the bank’s practices, the Wall Street Journal reported Monday, citing unnamed sources. An attorney representing Wells Fargo customers and former employees who have sued the bank told The Times that representatives from the OCC, a federal bank watchdog, have contacted his office about those cases.
The inquiries, like a lawsuit filed this year by the Los Angeles city attorney’s office, appear related to allegations that the San Francisco banking giant has employed a high-pressure sales system that encourages illegal behavior by employees.
The bank’s practices came to light in a 2013 Times investigation that found Wells Fargo employees, facing strict sales quotas and fearing retribution from their superiors, created accounts without customers’ knowledge and even forged customers’ signatures.