June 21, 2018
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Wells Fargo CEO resigns from Fed advisory council

Tom Williams | CQ Roll Call | TNS
Tom Williams | CQ Roll Call | TNS
Wells Fargo CEO John Stumpf testifies about the company opening unauthorized accounts under customers' names at a Senate Banking, Housing and Urban Affairs hearing on Tuesday.
By Dan Freed, Reuters

Wells Fargo & Co Chief Executive John Stumpf, under fire over problematic sales tactics, resigned from the Federal Reserve Bank of San Francisco’s advisory council on Thursday.

“John made a personal decision to resign as the Twelfth District’s representative to the Federal Advisory Council. His top priority is leading Wells Fargo,” Wells Fargo spokesman Mark Folk said in an email.

A spokesman for the San Francisco Fed declined to comment beyond a news release from the regulator announcing Stumpf’s resignation.

The Federal Advisory Council has 12 banking industry representatives and ordinarily meets four times a year. Representatives typically serve three one-year terms. Stumpf’s second term would have ended at the end of this year.

Sen. Angus King, I-Maine, wrote a letter on Thursday to San Francisco Fed Chairman Roy Vallee asking him not to appoint Stumpf for a third one-year term. Four Senate Democrats also signed the letter.

Wells Fargo has fired some 5,300 employees for opening as many as 2 million accounts in customers’ names without their authorization. On Sept. 8, a federal regulator and Los Angeles prosecutor announced a $190 million settlement with Wells.

 


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