The Washington Post reports:
Eager not to be the next Wells Fargo, some other big banks say they are examining their own practices against the board report and actively looking for ways to avoid any sales issues before becoming engulfed in a similar kind of scandal. …
Wells had by far the most aggressive sales goals among the big banks, and the board’s report said the problems date back at least 15 years — but that executives had little interest in dealing with the issue until it spiraled out of control. The board also reclaimed another $75 million in pay from former CEO John Stumpf and former community bank executive Carrie Tolstedt, saying they dragged their feet for years.
That report has been making its way through top executive offices at nearly every big bank, executives said.
For the industry, the next potential shoe to drop will likely be from federal bank regulator the Office of the Comptroller of the Currency, whose bank examiners are currently combing through each of big bank sales programs. Their findings are expected this summer. And the Consumer Financial Protection Bureau is also doing its own investigation.
In the meantime, … managers [a]re actively searching for ideas on how to stop what happened at Wells from potentially occurring at their banks.
The full article is here.
