Wells Fargo will pay $ 1,000 million fine

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By Associated Press 04/21/2018 | 02: 23 p.m.

NEW YORK.- Wells Fargo will pay the authorities
federal authorities a $ 1 billion fine in order to resolve lawsuits in
around its mortgage and loan divisions, the most recent chapter in a
scandal extended in the American banking giant. However, apparently none of the money will go directly to
the victims of the abuses of the company. Under the agreement announced on Friday, Wells will pay $ 500
million to the Office of the Comptroller of the Currency of the Treasury Department and
another $ 500 million to the Office for Consumer Financial Protection of
United States (CFPB for its acronym in English). The measure of the CFPB is remarkable because it is the first fine
issued by that agency under the leadership of Mick Mulvaney, appointed by the
President Donald Trump in November. It is also the most expensive fine applied
by the CFPB in its history _the previous one is one of 100 million dollars,
also imposed on Wells Fargo_ and equals the largest fine ever issued
by the Office of the Comptroller of the Currency, against HSBC in 2012. The fine against Wells Fargo was expected. The company
had warned last week that he was in negotiations with the authorities
on a possible agreement to settle the disputes and that the fine
could amount to 1,000 million dollars. The arrangement contains other conditions that will restrict
Wells Fargo activities. The bank will have to draw up a management plan for
risk that must be approved by banking regulators and from now on
forward will have to receive approval from regulators before hiring
executives “While it is true that we still have work to do,
these orders show that we share the goals of our regulators and
that we are committed to working with them in order to provide a service
with concentration, responsibility and transparency, “said the director
General of Wells Fargo, Tim Sloan, in a statement. The 500 million dollars to the Office of the Comptroller of the
Currency will be deposited directly to the United States Treasury, according to the
order. The 500 million going to the CFPB will go to the civil compensation fund
of the CFPB, which is used to help affected consumers in other cases,
but none of the money goes directly to the victims of Wells Fargo.

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