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Wells Fargo, plagued by scandals, gets ready to hear protests at the meeting



Wells Fargo shareholders, executives and board were in for protests at the company's annual meeting in Des Moines, Iowa on Tuesday.

Tim Sloan, the bank's CEO, said the reconstruction of trust is their "top priority."

"Work on the risk management issues in our company is in full swing." [1

9659003] Sister Nora Nash, who represented religious groups at the interreligious Corporate Responsibility Center and was a well-known shareholder activist in corporate governance, withdrew a suggestion to ask the bank to prepare a risk management report after the management Having agreed with the group

"This company has damaged and hurt millions of its customers," she said at the meeting. "Our company failed." She added that she appreciates the company's willingness to work on a review of business standards.

Nash also raised questions about Wells Fargo's position as the largest lender to the arms industry. "Our company should not be financially linked to manufacturers of assault weapons sold to civilians," she said.

California Treasury Secretary John Chiang, who also runs for governor there, said on Monday he plans to travel to the assembly call for a reshuffle in the executive ranks. He also wants Wells to stop forcing clients to submit to arbitration rather than bringing disputes with the bank to court.

The setting is 1,800 miles from the head office, where top executives fought for almost two years to stem the damage from a sales scandal that engulfed their retail bank and spread to auto loans, mortgages and even asset management [19659003] Just last week Wells agreed to pay a $ 1 billion fine to the Financial Regulator and the Office of the Comptroller of the Currency to excuse allegations that demanded thousands of auto loan customers for insurance that they did not need and improperly burdened mortgage customers To set interest rates. Wells has to repay customers as part of the agreement.

And in March, Wells announced in an application for approval that it is responding to questions from the regulator about whether there are any inappropriate client referrals or recommendations in its wealth management business. The Federal Reserve told Wells earlier this year that its growth will be limited until the board's risk management, governance and oversight can be kept in check.

The regulatory and legal issues have eliminated the previous top management, and Wells has replaced six members of the Board of Directors, including three, who were appointed to him in January.

Shareholders will vote on these board members at the meeting, as well as the $ 17.4 million wage package for Sloan, who was nominated for this role. The scandal surrounding sales practices broke out in the fall of 2016.


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