Wells Fargo is going to pay $124 million to the person who directed a group that created over two million fake accounts in customer’s name.
Carrie Tolstedt was put in charge of a new Well’s Fargo goal to get account holders to open multiple accounts. Her division performed very well.
So well, she was rewarded handsomely, for her efforts. She was paid around $9 million for her fantastic job. Her division grew by leaps and bounds and she made out like a bandit.
How did she do it? She cheated.
Under her supervision, many employees were creating fake accounts for current customers and even forging their signatures.
The new accounts would charge bogus fees to the account holder and making more money for Wells Fargo.
In all, over two million accounts were falsified, and the incredible growth in her division was fraudulent.
What is Wells Fargo going to do with Tolstedt?
When the 56-year-old Tolstedt retires at the end of the year, she will be paid $124 million for the phenomenal work she did at the bank.
There doesn’t look there will be any repercussions for Tolstedt or any of the employees that engaged in forging documents and creating false accounts. Wells Fargo was fined but that is it.
Anthony Try, a former Wells Fargo employee explained what the workers were doing.
“There would be days where we would open five checking accounts for friends and family just to go home early.”
It seems like the culture at Wells Fargo is corrupt. The unrealistic sales goals came from the top, and the employees did what they had to do to reach the goal.
Everyone had their hand in this mess and the bank and the employees should be held accountable.
As of right now, it doesn’t look like anything will happen to Wells Fargo, Tolstedt or any employee.
Apparently it is ok for the banks to sign your name to open an account for you, but try cashing a false check and see what happens.
This is just another example of the Wall Street corruption that has gone unchecked for too many years.
Will you start or continue banking with Wells Fargo? Let us know in the comments below.