Statewide Iowa — (RI) — Wells Fargo Bank has agreed to pay $575-million to settle claims that the bank violated consumer protection laws.
Iowa Attorney General Tom Miller says Iowa’s share of the settlement is $6.18 million.
Iowa’s share of the settlement will go to the state’s Consumer Education and Litigation Fund. Just over two years ago, Wells Fargo officials acknowledged that employees had opened millions of fake accounts to meet sales goals. According to Iowa Assistant Attorney General Patrick Madigan, bad human behavior is often driven by incentives.
He’s urging other companies to carefully review their policies to avoid similar problems.
Wells Fargo, also accused of illegal practices related to insurance and mortgages, previously reached a FEDERAL settlement and was slapped with a record $1 billion fine. Wells Fargo is the Des Moines area’s largest private employer, with about 14,000 workers.
