Wells Fargo: Difference between revisions
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=== 401K Lawsuit === | === 401K Lawsuit === | ||
Between 2013-2018, the United States department of labor found, Wells Fargo employees had overpaid for the companies stock in their retirement plans. Wells Fargo agreed to pay out 131.8 million dollars directly to individuals affected by the overpriced stock and was also made to pay an additional 13.2 million dollars in penalties. <Ref>https://www.forbes.com/sites/dereksaul/2022/09/12/wells-fargo-shells-out-145-million-to-end-feds-401k-investigation/?sh=565f623c4724</Ref> <Ref>https://www.dol.gov/newsroom/releases/ebsa/ebsa20220912</Ref> | Between 2013-2018, the United States department of labor found, Wells Fargo employees had overpaid for the companies stock in their retirement plans. Wells Fargo agreed to pay out 131.8 million dollars directly to individuals affected by the overpriced stock and was also made to pay an additional 13.2 million dollars in penalties. <Ref>https://www.forbes.com/sites/dereksaul/2022/09/12/wells-fargo-shells-out-145-million-to-end-feds-401k-investigation/?sh=565f623c4724</Ref> <Ref>https://www.dol.gov/newsroom/releases/ebsa/ebsa20220912</Ref> | ||
=== 2020 Civil and Criminal Settlement === | |||
In February of 2020 Wells Fargo agreed to a 3 billion dollar settlement to settle criminal and civil lawsuits pertaining to unlawful sales practices between 2002-2016. The department of justice stated Wells fargo and its subsidiaries: <blockquote>have agreed to pay $3 billion to resolve their potential criminal and civil liability stemming from a practice between 2002 and 2016 of pressuring employees to meet unrealistic sales goals that led thousands of employees to provide millions of accounts or products to customers under false pretenses or without consent, often by creating false records or misusing customers’ identities, the Department of Justice announced today.</blockquote> | |||
== Connections to Police Organizations == | == Connections to Police Organizations == | ||
== Sources == | == Sources == | ||
Revision as of 16:19, 27 December 2022
Lawsuits against Wells Fargo
2012 Class Action Lawsuit
In 2012 the United States department of justice reached a 184.2 million dollar settlement agreement with Wells Fargo over their discriminatory mortgage lending practices to African-American and Hispanic borrowers. At the time it was the second largest settlement of its nature. [1] In regards to the court case the justice department stated:
"The settlement, which is subject to court approval, was filed today in the U.S. District Court for the District of Columbia in conjunction with the department’s complaint, which alleges that between 2004 and 2008, Wells Fargo discriminated by steering approximately 4,000 African-American and Hispanic wholesale borrowers, as well as additional retail borrowers, into subprime mortgages when non-Hispanic white borrowers with similar credit profiles received prime loans. All the borrowers who were allegedly discriminated against were qualified for Wells Fargo mortgage loans according to Well Fargo’s own underwriting criteria.":
401K Lawsuit
Between 2013-2018, the United States department of labor found, Wells Fargo employees had overpaid for the companies stock in their retirement plans. Wells Fargo agreed to pay out 131.8 million dollars directly to individuals affected by the overpriced stock and was also made to pay an additional 13.2 million dollars in penalties. [2] [3]
2020 Civil and Criminal Settlement
In February of 2020 Wells Fargo agreed to a 3 billion dollar settlement to settle criminal and civil lawsuits pertaining to unlawful sales practices between 2002-2016. The department of justice stated Wells fargo and its subsidiaries:
have agreed to pay $3 billion to resolve their potential criminal and civil liability stemming from a practice between 2002 and 2016 of pressuring employees to meet unrealistic sales goals that led thousands of employees to provide millions of accounts or products to customers under false pretenses or without consent, often by creating false records or misusing customers’ identities, the Department of Justice announced today.
Connections to Police Organizations
Sources
- ↑ https://www.justice.gov/opa/pr/justice-department-reaches-settlement-wells-fargo-resulting-more-175-million-relief
- ↑ https://www.forbes.com/sites/dereksaul/2022/09/12/wells-fargo-shells-out-145-million-to-end-feds-401k-investigation/?sh=565f623c4724
- ↑ https://www.dol.gov/newsroom/releases/ebsa/ebsa20220912