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  • 09/19/2017 13:09:31

    Regulator settled with Wells Fargo for 100 times less than law allowed: report

    The Consumer Financial Protection Bureau could have fined Wells Fargo $10 billion instead of $100 million last year for the unauthorized customer accounts fraud, Reuters reported Tuesday. The regulator settled for so much less to resolve the matter quickly, according to documents sent to Republican staff on the House Financial Services Committee whose chairman, Representative Jeb Hensarling, released a 929-page report on Tuesday entitled, "Did the CFPB let Wells Fargo 'beat the rap'?" One memo CFPB staff sent to Director Richard Cordray in July 2016 that was included in the report recommended the smaller figure, saying it was enough to act as an effective deterrent and close the matter quickly. CFPB spokesman David Mayorga told Reuters the agency has not had a chance to review the report, but defended its work policing Wells Fargo.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.

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