Drawing on both public material and confidential information obtained during its review, the bank’s regulator, the Office of the Comptroller of the Currency, said it had uncovered “an extensive<br />and pervasive pattern and practice of discriminatory and illegal credit practices across multiple lines of business within the bank, resulting in significant harm to large numbers of consumers.”<br />The regulatory action came on the same day that the bank agreed to pay $110 million to<br />settle a class-action lawsuit over its creation of unauthorized customer accounts.<br />Wells Fargo said it had agreed to resolve those cases outside arbitration, as part of<br />this proposed settlement, “in order to move forward and avoid continuing litigation.”<br />The comptroller’s office criticized Wells Fargo’s creation of unauthorized accounts in its report,<br />but it also pointed to at least nine other examples of what it called “egregious” violations by Wells Fargo that harmed borrowers.<br />Citing Misdeeds, U. S. Gives Wells Fargo Failing Grade on Lending -<br />By STACY COWLEYMARCH 28, 2017<br />In the latest blow to Wells Fargo’s efforts to rebuild its reputation after months of turmoil,<br />the bank on Tuesday received a failing score on community lending from its federal regulator.<br />The bank paid $185 million in September to settle charges brought by the Los Angeles city attorney and by federal regulators, including the Office of the Comptroller of the Currency,<br />but several criminal investigations, including an inquiry by the Justice Department, are continuing.
