WASHINGTON (AP) — The CEO of Wells Fargo says nearly 150,000 Texas accounts possibly were affected in the banking scandal that’s drawn the attention of Congress.
Chief Executive John Stumpf testified Thursday before the House Financial Services Committee that the bank is expanding its review of accounts and roles of executives. Stumpf, who’s newly stripped of tens of millions in compensation, provided the Texas figure during the hearing.
U.S. and California regulators have fined San Francisco-based Wells Fargo $185 million, saying bank employees trying to meet sales targets opened up to 2 million fake deposit and credit card accounts without the knowledge of customers.
Several lawmakers alleged that Wells Fargo’s sales practices may have violated federal racketeering laws.
Texas Congressman Jeb Hensarling, who leads the committee, said: “Fraud is fraud. Theft is theft.”