As mentioned before, the scandal had been going on at least for five years. Two million customers’ accounts had been affected. More than 5,300 employees had been fired over several years. Nevertheless, no senior executives had been terminated. Wells Fargo executives were notable mainly in their inertia although there existed years of evidence that a policy coming from the top level was driving abusive/illegal practices & irregularities at the Bank.
TL;DR –The Wells Fargo Vice President who oversaw the retail division which was responsible for mass fraud should have been fired rather than allowed to retire. The article “In Wells Fargo Scandal, the Buck Stopped Well Short” by Susan Ochs examines the behavior of Wells Fargo in regards to the Carrie Tolstedt. Carrie Tolstedt was the Wells Fargo Community Banking senior vice president during the time where thousands of fraudulent accounts were created by employees who directly or indirectly reported to her. Starting last November, Wells Fargo was under investigation of fraud based on customer complaints concerning account being opened in their name without their knowledge. Ms. Tolstedt was in charge of over 94,000 employees in the Community Banking division during the five years of fraudulent activity.
In this time during the 1930’s, over 9,000 banks failed. This coming as a result of deposits not being insured which caused even more panic for the American people. With money being pulled from all directions, businesses suffered and a reduction in consumer spending was felt throughout the
There were concerns raised on the transparency of the bank and with the increased liability customers started withdrawing money from the bank leaving them stranded. The number of customers for the bank declines by over 40% in a small period of 2 years. This proved the credibility issues for the
How many can keep it going by losing their share in such a large amount? Even employees do shoplifting. What a sad situation. The U.S. National Crime Prevention Council (NCPC) reports that almost a third of all businesses in the United States are forced to close because of shoplifting. You see, when you are stealing from a business and have this business shut its doors; you don’t only hurt the business owner, but you also hurt thousands of other people.
• Facilitates reconciliation of the bank account. Some organizations even use 12 bank accounts – one for each month – to limit the problems associated with the bank reconciliation process. 6) Some of the more critical potential problems involving payroll include: • Checks are issued to fictitious employees or to former employees who have left Lakeside, with the checks being diverted and fraudulently cashed. Substantive tests that may disclose this problem: o Observe distribution of payroll checks. o Review personnel files for a sample of employees to verify current status is maintained.
The main reason being that one small mistake can be a costly one. He often will have me make tickets of the customer’s blends for each field. I constantly check and recheck my work to insure I have not made any mistakes. I do not feel I give myself enough credit at times for my capabilities. I am grateful however that my boss does delegate his work and puts trust into his employees to help get the job done effectively and efficiently.
I was about to go to lunch and I was called to the back and another co-worker. The only thing I was thinking of what did I do wrong. My manager and the district manager came to the back and started talking to us about that the total accounts was too low and that we had to get the accounts up. They had told me and the other girl that they had to lay us off due the accounts was low and they didn’t have enough funds to pay until the accounts come up. I was very terrified.