This Could Be Rough Day for Wells Fargo CEO in Senate

John Stumpf will be apologizing to panel over fake accounts
By John Johnson,  Newser Staff
Posted Sep 20, 2016 9:01 AM CDT
This Could Be Rough Day for Wells Fargo CEO in Senate
Wells Fargo CEO John Stumpf.   (AP Photo/Richard Drew)

Things could get ugly Tuesday for Wells Fargo CEO John Stumpf, who has the pleasure of appearing before the Senate Banking Committee to answer questions about why on earth his bank created about 2 million fake bank and credit card accounts on behalf of clients without their permission. Employees allegedly did so to meet quotas, while customers got saddled with fees. More than 5,000 Wells Fargo workers have been fired, and the bank has been fined $185 million, but high-level execs have said they knew nothing about the accounts. In prepared remarks obtained by CNNMoney, Stumpf apologizes:

  • "I am deeply sorry that we failed to fulfill our responsibility to our customers, to our team members, and to the American public." But he adds: "I do want to make very clear that there was no orchestrated effort, or scheme as some have called it, by the company."

  • Keep an eye on Elizabeth Warren especially, but also on fellow senators Richard Shelby, Bob Corker, and Sherrod Brown. The Wall Street Journal lays out some specifics on those four here.
  • USA Today has four big questions, including the biggie: "How much did top executives know and when did they know it?" Read them here.
  • Slate has some questions of its own, including whether Wells Fargo will take back some of the enormous bonuses doled out to execs, like this one. Read Slate's list here.
  • One shareholder says Stumpf must go. He makes the case via CNBC.
  • The New York Times has a profile of Stumpf and his carefully cultivated image of a community banker here.
(Read more Wells Fargo stories.)

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