Jan. 23 (UPI) — John Stumpf, the former CEO of Wells Fargo, must pay a $17.5 million fine for the bank’s creation of thousands of fake customer accounts, the U.S. government announced Thursday.
The Treasury Department’s Office of the Comptroller of the Currency also barred Stumpf from ever working for a bank again.
Stumpf resigned as CEO of Wells Fargo in October 2016 after it was discovered bank associates opened accounts without customers’ knowledge to fill quotas. Employees created thousands of phony accounts and manipulated some real accounts to boost sales figures and earn bonuses. The bank responded by firing more than 5,000 workers and pledged to end sales goals.
In addition to Stumpf’s punishment Thursday, the OCC announced charges against five other former Wells Fargo senior executives for their role in the scandal.
“The actions announced by the OCC today reinforce the agency’s expectations that management and employees of national banks and federal savings associations provide fair access to financial services, treat customers fairly, and comply with applicable laws and regulations,” Comptroller of the Currency Joseph Otting said.