New revelations that Wells Fargo & Co spent years enrolling unknowing borrowers in costly auto insurance has put the bank under pressure to answer for a months-long scandal over sales practices that have harmed millions of Americans.
The latest news that 800,000 Wells Fargo auto borrowers were improperly charged for insurance rattled investors yet again, and sent its stock down 2.6 percent on Friday (28 July).
Shareholders, analysts, lawmakers and consumer advocates demanded answers about how the situation manifested, and why Wells Fargo did not disclose the problem sooner, given existing turmoil over phony deposit and credit card accounts opened in customers' names without their permission.
"This is a full-blown scandal - again," said New York City Comptroller Scott Stringer, who oversees public pension funds that hold roughly 11.6 million Wells Fargo shares. "It's unbelievable, outrageous, sad, and yet quintessential Wells Fargo. This isn't just a corporate debacle. It's caused real human harm."
More news, Wells Fargo faces angry questions after new sales abuses uncovered
Source :
1) www.thestar.com.my
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