How Wells Fargo regulators and employees drove out its CEO
The bank’s next chief will have to transform the bank's sales practices and get regulators and its 260,000 employees on board
New York/Washington — The day after former Wells Fargo CEO Tim Sloan told US legislators he was transforming the bank’s high-pressure culture, Federal Reserve officials met privately with bank employees. At the meeting on March 13, which has not been previously reported, Fed officials were told by four bank employees that little had changed within the bank’s culture since the scandal that engulfed Wells Fargo almost three years ago. Among those present at the meeting was Fed governor Lael Brainard, who is overseeing a decree requiring that Wells Fargo fix its risk management before it can resume growing, two sources with direct knowledge of the matter said. The employees belonged to an advocacy group, Committee For Better Banks, which confirmed the meeting. Brainard told the group she was there to listen and get insight into the mood among Wells Fargo staff but declined to say if or how the Fed would respond, the sources said. While regulators occasionally meet consumer advocacy o...
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