Wells-Fargo executive escapes prison time
<img width="250" height="167" src="https://www.leaprate.com/wp-content/uploads/2023/09/FIN-LP-Wells-Fargo-executive-escapes-prison-time-5175822947iStock-1213539947-250×167.jpg" class="webfeedsFeaturedVisual wp-post-image" alt="" decoding="async" style="float: left; margin-right: 5px;" link_thumbnail="" srcset="https://www.leaprate.com/wp-content/uploads/2023/09/FIN-LP-Wells-Fargo-executive-escapes-prison-time-5175822947iStock-1213539947-250×167.jpg 250w, https://www.leaprate.com/wp-content/uploads/2023/09/FIN-LP-Wells-Fargo-executive-escapes-prison-time-5175822947iStock-1213539947-700×467.jpg 700w, https://www.leaprate.com/wp-content/uploads/2023/09/FIN-LP-Wells-Fargo-executive-escapes-prison-time-5175822947iStock-1213539947-768×512.jpg 768w, https://www.leaprate.com/wp-content/uploads/2023/09/FIN-LP-Wells-Fargo-executive-escapes-prison-time-5175822947iStock-1213539947-120×80.jpg 120w, https://www.leaprate.com/wp-content/uploads/2023/09/FIN-LP-Wells-Fargo-executive-escapes-prison-time-5175822947iStock-1213539947-245×163.jpg 245w, https://www.leaprate.com/wp-content/uploads/2023/09/FIN-LP-Wells-Fargo-executive-escapes-prison-time-5175822947iStock-1213539947-500×333.jpg 500w, https://www.leaprate.com/wp-content/uploads/2023/09/FIN-LP-Wells-Fargo-executive-escapes-prison-time-5175822947iStock-1213539947.jpg 1254w" sizes="(max-width: 250px) 100vw, 250px" /><p><span data-contrast="auto">Tolstedt captained the retail and small business lending institution from 2007 to 2016 and became the only top Executive to face criminal charges. This occurred after the company’s forceful sales culture, which resulted in opening millions of accounts and selling products customers did not want, came to light. </span><span data-ccp-props="{"201341983":0,"335559739":160,"335559740":259}"> </span></p>
<p><span data-contrast="auto">Prosecutors in the case vied for a one-year prison sentence. However, U.S. District Judge Josephine Staton opposed this, citing it would be unfair as Toldstedt was not solely responsible for the company’s misconduct. She accepted full responsibility for her crime, and the final outcome resembled her initial request.</span><span data-ccp-props="{"201341983":0,"335559739":160,"335559740":259}"> </span></p>
<p><span data-contrast="auto">Neither the prosecution nor the defence offered any comments. In 2020, the company paid $3bn to settle federal and civil charges against its sales practices. John Stumpf, the ex-Chief Executive also lost his job, received a lifetime industry ban and a $17.5m civil fine.</span><span data-ccp-props="{"201341983":0,"335559739":160,"335559740":259}"> </span></p>
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<p><span data-contrast="auto">In 2018, the Federal Reserve capped Wells Fargo’s assets, effectively hobbling the institution’s development. To date, this cap remains despite Wells Fargo being the fourth-largest bank in the United States.</span><span data-ccp-props="{"201341983":0,"335559739":160,"335559740":259}"> </span></p>
<p><span data-contrast="auto">The lifetime industry ban now extends to Tolstedt, too. She not only agreed to the ban but also concurred to pay $20m in civil fines.</span><span data-ccp-props="{"201341983":0,"335559739":160,"335559740":259}"> </span></p>
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