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Wells Fargo Takes $75 Million from Top Executives Amid Scandal

Parth Panchal

Wells Fargo WFC has stripped $75 million away from two top executives amid their scandal over bogus accounts. The bank released a much anticipated report on Monday outlining the investigation of their poor sales practices.

Pinned for the blame are former CEO John Stumpf and former community banking executive Carrie Tolstedt. As a result, Wells Fargo is taking back $47 million in pay from Mrs. Tolstedt and $28 million from Mr. Stumpf. This is in addition to what was taken away from the executives last year: $41 million in stock from Mr. Stumpf and $19 million of stock from Mrs. Tolstedt.

“The board and management have taken decisive action to address issues raised by investigation, promote accountability, strengthen oversight and rebuild trust,” said the bank in a statement.

The Wells Fargo board announced it has recovered $180 million over the scandal just from executive compensations. From the $180 million, $69 million is from Mr. Stumpf and $67 million is from Mrs. Tolstedt.

The bank is progressing towards rebuilding customers’ trust. On Monday afternoon, Wells Fargo was trading down 0.33% to $54.66.

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