Lawyers: Wells Fargo created about 3.5 million fake accounts

View 2       Items

View 2 Items

Lawyers suing Wells Fargo on behalf of aggrieved customers say in court filing late Thursday, May 11, 2017, the bank may have opened about 3.5 million unauthorized accounts, far more than the figure bank and regulators disclosed a year ago.

Bank spokesman Ruben Pulido said the new claim was unverified and only an estimation. The attorneys covered a period from 2002 to 2017, rather than the previously scrutinized five-year stretch from 2011 to some time in 2016 in which the bank acknowledged setting up unauthorized accounts.

The lawyers including the new estimate in a court filing asking a judge to approve a $142 million settlement.

The Seattle-based firm also said the number "may well be over-inclusive, but provides a reasonable basis on which to estimate a maximum recovery".

Keller Rohrback said the settlement "fairly balances the risks" of further litigation, including the possibility their clients might lose, against the benefits.The accord has drawn objections from law firms including Heninger Garrison Davis, from Birmingham, Alabama.It said the accord underestimated the potential maximum damages by at least 50 percent, and did not properly address whether Wells Fargo committed identity theft by using customers' personal data to open the accounts.Lawyers from the Alabama firm did not immediately respond on Friday to requests for comment.

To read this article in one of Houston's most-spoken languages, click on the button below.

John Stumpf and Carrie Tolstedt, who were respectively the San Francisco-based bank's chief executive and retail banking chief, lost their jobs and had tens of millions of dollars clawed back over the scandal, and 5,300 employees were fired.

The bank initially agreed to pay $110 million to settle claims dating back to 2009.

The $142 million settlement covers accounts opened since May 2002. A hearing is scheduled for next week. All remaining money will be split among the affected customers.

Wells Fargo questioned the accuracy of the latest estimate, which comes less than a week before U.S. District Judge Vince Chhabria in San Francisco is slated to consider preliminary approval of the settlement.

Notícias recomendadas

  • Photos Show the Trump-Comey Saga Unfold

    He also said on Twitter that "Comey lost the confidence of nearly everyone in Washington, Republican and Democrat alike". Trump met with Sessions and Rosenstein, and they discussed the reasons for removing Comey, the White House said.
    North Korea has a long history of odd accusations

    North Korea has a long history of odd accusations

    House of Representatives overwhelmingly approved legislation to impose fresh sanctions against North Korea . North Korea does not have a monopoly on demonstrating aggressive behavior in the conflict, however.
    There's Not Much Lawmakers Can Do About the Russia Investigation

    There's Not Much Lawmakers Can Do About the Russia Investigation

    The White House said the search for a replacement was beginning immediately. Some of Trump's fellow Republicans called his dismissal of Comey troubling.
  • Trump's Pick For Trade Representative Creates Unusual Alliances

    Trump's Pick For Trade Representative Creates Unusual Alliances

    Mexico's Economy Minister Ildefonso Guajardo said he thought talks would probably start towards the end of August. Lighthizer is the last of the Trump administration's cabinet-level appointments to win Senate confirmation.
    La défense bancale de Donald Trump — FBI

    La défense bancale de Donald Trump — FBI

    La porte-parole de la Maison-Blanche, Sarah Huckabee Sanders, a contesté ces informations. Il n'y a eu aucune tentative d'entraver notre enquête à ce jour.
    Captain of shipwrecked Costa cruise liner heads to jail

    Captain of shipwrecked Costa cruise liner heads to jail

    The wreckage, raised in a dramatic engineering feat, was eventually towed away to become scrap. He was also convicted of abandoning the capsizing vessel with passengers and crew still aboard.
  • Tillerson says USA won't be rushed on climate change policies

    But the Trump administration is now debating whether to pull out of the global Paris agreement to limit carbon emissions. During the ministerial meeting, Finland will take over the rotating Arctic Council chairmanship from the United States.
    Nitin Gadkari invites investors to India's infra sector

    Nitin Gadkari invites investors to India's infra sector

    Masala Bonds are a major initiative being encouraged by the Centre, as they have been gaining popularity among foreign investors. Besides, Gadkari will "open the market for trading" after which NHAI will list its masala bonds, the official said on Wednesday.
    Suspect in crash that hurt boy had been deported 15 times

    Suspect in crash that hurt boy had been deported 15 times

    His parents were not seriously injured, but Lennox is expected to remain in the hospital for at least another nine days. And the judges who are trying to protect sanctuary cities perpetuate crimes against children like these.
  • U.S. needs September 'shutdown' to fix Senate 'mess'

    Republicans got rolled by Democrats in the spending bill negotiations and everyone knows it, including the White House. Trump also had to give up on some requests of funding cuts for medical research and community development programmes.

    Quand Gad Elmaleh passe la douane américaine

    Décidément, passer la douane américaine est désormais un exercice compliqué, même pour Gad Elmaleh. A bout de nerfs, l'humoriste lance finalement: "Vous savez qui je suis?"

    Chris Brunt says Chelsea will face a tough test at West Brom

    As things stand, Liverpool have 70 points from 36 games, which means the highest number of points they could finis on is 76. Leicester City manager Craig Shakespeare insists that his side are adaptable and not simply reliant on one style of play.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.