Daily Archives: October 31, 2016

San Francisco resolution includes calling on OCC to explore revoking Wells Fargo’s national banking charter

Oh oh for Wells Fargo…

The resolution directs the city to:
·Create an inventory of all financial dealings with Wells and the feasibility of ending them;
·Directs the City Attorney to investigate if other banks are engaged in similar account practices;
·Consider establishing a Responsible Banking Ordinance to better connect the city’s banking relationships to banks engaged in ethical corporate behavior;
·Calls for a criminal investigation of former CEO John Stumpf; and
·Calls on the OCC (Wells Fargo’s primary bank regulator) to explore whether conditions exist such that the OCC should revoke Wells Fargo’s national banking charter.

A spreadsheet tracking $1.7B in Wells Fargo settlements and lawsuits from 2015 to 2016

FILE: Wells Fargo Reports Higher Earnings

It is available for download here: Wells Fargo Fact Sheet

Wells Fargo’s ex-CEO quits his $400k Target, $275k Chevron board positions

NEW YORK (CNNMoney) –

Wells Fargo’s embattled former CEO John Stumpf stepped down on Tuesday from the boards of two corporate giants: Target and Chevron.

The moves come just one week after Stumpf resigned suddenly as CEO amid an outcry over the scandal at his bank. There were loud cries for his resignation from lawmakers after Wells Fargo admitted to firing 5,300 workers for creating as many as 2 million unauthorized accounts since 2011.

Stumpf’s two board positions were lucrative. Last year, he earned $400,000 from Chevron and another $275,000 in fees and stock awards from Target.

Read on.

Wells Fargo workers describe mental health nightmares

WMDT47:

NEW YORK (CNNMoney) –

For Janis Barinsky, a former Wells Fargo banker, it started with stress-induced migraines and severe anxiety.

She says trying to balance the bank’s aggressive sales goals without doing something illegal and sacrificing her morals pushed her into deep depression.

Barinsky worked for Wells Fargo from 2002 to 2013 as a personal banker and a business specialist at several locations in Northern California and Idaho. She told CNNMoney she “internalized this constant pressure — and it manifested itself in physical, emotional and psychological problems in my life.”

The bank last month admitted to creating as many as 2 million unauthorized bank and credit card accounts. Almost immediately after the revelations, CNNMoney was inundated with dozens of emails from Wells Fargo workers, both current and former, who described the high-pressure work environment. Many of these workers said they suffered mental health issues as a result.

It was an environment where unethical behavior was rewarded, many former employees say. Barinsky says she watched colleagues get lucrative bonuses and even promotions after hitting unrealistic goals by using unethical practices.

The mental health issues forced Barinsky to go on medical leave and she sought treatment from psychologists. Eventually, she was forced to retire.

Barinsky, who today is 63 years old, said efforts to speak up by calling the Wells Fargo ethics line, an internal hotline for confidentially flagging bad behavior, repeatedly didn’t work. That echoes claims made by other former employees.

“I am not alone,” said Barinsky. “I am positive many former employees have experienced and are experiencing these lasting and devastating effects of the abuse we suffered as Wells Fargo employees.”

Jeremy Mohr of Pennsylvania said he too felt “ridiculous” pressure to hit “unreasonable” sales goals after Wells Fargo took over his Wachovia branch in 2009. He described getting “hounded” about his performance by “obsessive compulsive, controlling management.”

Mohr recalled being constantly observed by managers, who would critique his interactions with customers. The observations were recorded and Mohr had to sign off on the documents. One time, Mohr was told to sign a document indicating he had just been observed on a customer interaction, even though that hadn’t happened. He signed the form, and three months later, Mohr was fired in early 2011 for “willful misconduct” tied to this incident.

Mohr found it extremely difficult to find another job and it ultimately led to a personal bankruptcy. The experience left him humiliated.

“I went into depression, I contemplated suicide…from losing my job,” said Mohr.

In June 2011, he used exhaust fumes from his father’s car to attempt suicide. Mohr said he was hospitalized for carbon monoxide poisoning after his ex-wife discovered him.

“The catalyst was the s— that Wells Fargo did to me,” Mohr said. Today, Mohr, 40, is happily employed, working as a bartender at Houlihan’s in Hershey, and has plans to buy a home. “I have fun at work. It’s a great environment,” he said.

The experiences recounted by these employees underscore the human toll inflicted by a work culture that many former Wells Fargo employees said forced them to cheat and even break the law. Some described migraines and severe anxiety. Several complained of stomach ailments because they were denied bathroom breaks, a problem one banker described recently to a Wells Fargo executive at a California State Assembly hearing.