Sen. Warren tells Wells Fargo CEO Tim Sloan he should be fired for fake accounts scandal (+OTHERS LAMBASTE MIGHTILY!)
2017-10-03 — washingtonpost.com
In one blistering exchange, Sen. Elizabeth Warren (D-Mass.), a longtime Wall Street critic, questioned whether Sloan's 30 years experience at the bank made him the right choice to reform its corporate culture. Warren brought out a large black binder filled with the transcripts of statements Sloan had made to investors over several years, noting how in several cases he appeared to be bragging about the company's sales culture. "No one bragged more," she said.
The exchanges between Sloan and lawmakers was reminiscent of the beating Wells Fargo took on Capitol Hill last year when its former chief executive John Stumpf appeared before Congress. After a dismal performance, Stumpf stepped down.
Sloan acknowledged that precedence, saying he was determined to do better. "When my predecessor testified here last year, we had not fully grappled with the damage the sales practices scandal had done to our customers, our team members, and their trust in the bank," Sloan said. "But I heard you -- and I heard our customers and our team members -- loud and clear. You expect us to do better, and so do we."
He repeatedly apologized for the bank's conduct and was stern when they pressed him on some issues, including when questioned about Wells Fargo's practice of requiring customers to agree to settle disputes with the bank through arbitration rather than by filing a class-action lawsuit.
"Will you commit to this committee that you will stop requiring forced arbitration?," Brown said.
"No, I won't senator," Sloan said.
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