USA Today — Amid national criticism over improper sales practices that triggered $185 million in fines last week, Wells Fargo now faces investigation by federal prosecutors.
The U.S. Attorney’s Offices for the Southern District of New York and the Northern District of California are in the first stages of an examination that eventually could result in federal court action, a U.S. official familiar with the matter said Wednesday, confirming an initial report by The Wall Street Journal. Media organizations have reported that Carrie Tolstedt, the bank executive who oversaw the unit that created the unauthorized accounts, is retiring from Wells Fargo with a golden parachute package of benefits worth $124.6 million.
The investigation could threaten the reign of Wells Fargo CEO John Stumpf ’76.
