Yesterday, Wells Fargo CEO John Stumpf announced his "early retirement" from the scandal-haunted company, with the CEO seat being filled by former COO Tim Sloan.
Sloan is a bizarre pick for the job. With evidence mounting that the fraud goes back to 2008 or even 2005, and that the company's culture of coercion through blackballing threats was responsible for millions of criminal acts, Wells has appointed a veteran of the company -- who held senior, responsible roles through the entirety of the scandal -- to the top job.
He's not just any veteran, either: in 2013, Sloan told the LA Times that his company had no "overbearing sales culture" -- that everything was fine and the low-level bankers who were coming forward with early warnings about being pressured to act unethically were imagining things.
As the scrutiny over the fiasco grew, Sloan was promoted to President and Chief Operating Officer at Wells. He was the one who gave Carrie Tolstedt — the head of the bank’s retail division — that she would be “retiring” this past summer. But through it all, he maintained that Wells Fargo’s practice of constantly pushing employees to upsell and cross-sell financial products was not going to change.
“Because when you think of our vision, it’s to satisfy our customers’ financial needs, and to help them succeed financially,” he explained to American Banker in a June 2016 interview, adding that the “fundamental strategy that we have is not going to change.”
New Wells Fargo CEO Recently Denied “Overbearing Sales Culture” That Created Fake Account Fiasco
Back in September 2018, the state of New York ordered Charter to leave: the company had made a bunch of promises about investing in high-speed broadband for New Yorkers as a condition of approval for its acquisition of Time Warner Cable, and then it lied like crazy, defrauding the state and attracting a $172.4M penalty […]
The public markets are hungry: as Uber and Lyft look to IPOs to let their investors -- who have been subsidizing 40-50% of every ride -- redeem their shares through sales to the public capital markets, the companies are desperate for ways to reduce their unprofitability and increase those share prices.
Pepsi's plan to pay a Russian company called Startrocket to loft an artificial constellation of cubesats with mylar sails to advertise a "nonalcoholic energy beverage" has been cancelled for unspecified reasons (the company says its prototype launch using high-altitude balloons was a "one-time event").
Seasoned chefs have a bit of a love-hate relationship with their cutlery. A really good set of knives has to prove its worth by being put through the wringer – and if they’re really good, they’ll still look great afterward. So it is with the Damasukasu Japanese 3-Piece Master Chef Hanshu Knife Set. Sitting in […]
With the intuitive software out there today, anyone can become a music producer. You’ve probably heard that from any number of laptop impresarios, but you still have to know how to use the tools – and Logic Pro X is one of the best platforms out there right now. In order to get the most […]
Believe it or not, PDF files have been the go-to format for contracts and forms of any type since 1993. And sure, they’re easily shareable – but that’s about it. When you need to edit or sign a document – and you will – that’s when frustration can set in. Luckily, there are workarounds, and […]