Wells Fargo: Covid delays hopes for a turnaround
Euromoney, is part of the Delinian Group, Delinian Limited, 4 Bouverie Street, London, EC4Y 8AX, Registered in England & Wales, Company number 00954730
Copyright © Delinian Limited and its affiliated companies 2023
Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Wells Fargo: Covid delays hopes for a turnaround

A drastic management overhaul will please some, but chief executive Charles Scharf still has much to do – especially after Covid-19.

Charles Scharf
Charles Scharf, CEO and president of Wells Fargo

Receiving a $3 billion penalty for one of the biggest mis-selling scandals in history could hardly be described as a good start to the year for any bank – or a good beginning for a new chief executive. But Wells Fargo’s settlement with the US Department of Justice (DoJ) in early 2020 will hopefully be the peak of the litigation and customer remediation costs it has suffered for setting up millions of fake accounts (among other consumer abuses) in the first decade and a half of the 21st century.

Under Charles Scharf, who joined as chief executive in October 2019, the resolution of these matters at the DoJ could be a chance to move on and rebuild the firm’s reputation.

Formerly chief executive of Bank of New York Mellon, Scharf has set about overhauling the bank’s senior management.