United States orders Wells Fargo to halt expansion over 'abuses'

Trump credited with success, but scandal not far behind

Trump credited with success, but scandal not far behind

"We can not tolerate pervasive and persistent misconduct at any bank and the consumers harmed by Wells Fargo expect that robust and comprehensive reforms will be put in place to make certain that the abuses do not occur again", Yellen said in a statement.

Jerome Powell became chairman of the US central bank, better known as the Federal Reserve (Fed), on February 3, 2018.

"I would have liked to serve an additional term and I did make that clear, so I will say I was disappointed not to be reappointed", she said Friday on PBS NewsHour in a rare television interview.

Federal Reserve Chair Janet Yellen will join the Brookings Institution, a Washington think tank, on Monday after stepping down from the USA central bank.

The financial system is now "much better capitalized" and the banking system "more resilient" than they were entering the global financial crisis a decade ago, Yellen said.

In 2016 it was brought to light that workers at the bank had opened more than 3 million consumer credit card and deposit accounts without the authorization of the customer dating back to 2011.

Since then, the bank has also admitted to other questionable practices, including charging car-loan customers for insurance they did not need and charging improper fees to some mortgage borrowers.

CEO and President of Wells Fargo Timothy Sloan said that the bank takes the Federal Reserve order very seriously and is focused on addressing all the concerns the Fed has. The announcement came hours before Yellen's term was to expire, hitting the biggest bank in her former district.

US Study on Cellphone Radiation Won't Settle Debate
At the time, they noted the overall tumor incidence was low, even though increased in the exposed versus control groups. EWG has been at the forefront of public interest organizations raising concerns about cellphone use and cancer.

"We want to have this cap lifted as soon as possible".

Wells Fargo, because of this restriction, is planning to replace three of its directors before April and one more before the end of 2018.

"Wells Fargo has its work cut out for it over the next few years".

The Fed's unexpected censure of Wells Fargo should also be a boon to its rivals. She argued that the Fed could leave its key policy rate near zero for far longer than previously thought prudent.

The Fed's move is the latest and most serious regulatory action against the bank over the past year and a half.

Emphasizing the need for improved director oversight of the firm, the Board has sent letters to each current Wells Fargo board member confirming that the firm's board of directors, during the period of compliance breakdowns, did not meet supervisory expectations.

"The firm's lack of effective oversight and control of compliance and operational risks contributed in material ways to the substantial harm suffered by (Wells Fargo) customers", Gibson wrote.

Recommended News

  • Natural disaster  strikes off coast of Taiwan, hotel collapses

    Natural disaster strikes off coast of Taiwan, hotel collapses

    Local media reported a number of buildings had toppled with around 30 people trapped in the collapsed hotel. Taiwan lies along the famed "Pacific Rim of Fire" known for seismic activity from Alaska to Southeast Asia.
    Challenges are only just beginning, says Rahul Dravid

    Challenges are only just beginning, says Rahul Dravid

    At a press conference in Mumbai , Dravid affirmed, "Not lifting the World Cup (as player) is not a pain for me anymore". Over time the spotlight has grown on the tournament and teams have started to plan meticulously to win the title.
    Tillerson Begins Latin American Tour with Anti-Venezuela Agenda

    Tillerson Begins Latin American Tour with Anti-Venezuela Agenda

    The oilman-turned-diplomat recalled that his first trip overseas was to Peru as a member of the University of Texas Longhorn band. The U.S. and its two neighbors have been hitting speed bumps over trade negotiations.
  • Rouhani hits out at United States  over 'N-plan'

    Rouhani hits out at United States over 'N-plan'

    Zarif charged that "the revision of the 2018 nuclear strategy" by the United States will bring humankind's annihilation closer. It pledged never to be the first to use nuclear weapons "under any circumstances".
    Budget 2018: LTCG tax Effect, Sensex slips 500 points, Nifty below 11000

    Budget 2018: LTCG tax Effect, Sensex slips 500 points, Nifty below 11000

    They also say foreign investors will flock to countries like Singapore and Dubai, which do not tax long-term capital gains . The upward revision to the fiscal deficit target to 3.3 percent from 3 percent for 2018-2019 also dampened sentiment.
    Nintendo Switch Online service to release in September

    Nintendo Switch Online service to release in September

    REUTERS/Kim Kyung-HoonAn event guest plays with the Nintendo Switch in Tokyo, Japan during its announcement on January 13, 2017. The Nintendo Switch was released back in March of a year ago alongside the new Zelda, The Legend of Zelda: Breath of the Wild .
  • CDC - 53 Children Dead in Worst Flu in Recent Years

    CDC - 53 Children Dead in Worst Flu in Recent Years

    CDC recommends that you stay home for at least 24 hours after your fever is gone except to get medical care or other necessities. Ontario has changed the way it monitors flu this year and is no longer tracking flu-related deaths or hospitalizations.
    West Ham sack recruitment chief Henry

    West Ham sack recruitment chief Henry

    How many Italians come and settle in England?" Still, at least we are the 17th richest club in world football . The post was liked by teammates Manuel Lanzini, Adrian, Pedro Obiang and Arthur Masuaku.

    United States equities plunge on interest rate concerns, mixed earnings

    In currency markets, the Canadian dollar closed at an average trading value of 80.78 cents USA , down 0.60 of a USA cent. The plunge was a reversal from the heady sentiment that has defined the markets for most of the past year.
  • Gary Neville thinks Tottenham deserved their two penalties

    Gary Neville thinks Tottenham deserved their two penalties

    Spurs defenders fed the ball back to keeper Hugo Lloris on the play, but Salah ran back and intercepted the offering. He praised Moss for awarding two penalties so late in the game against Liverpool at Anfield .
    China Slams US 'Cold War Mentality' Amid Nuclear Policy Shift

    China Slams US 'Cold War Mentality' Amid Nuclear Policy Shift

    Iranian Foreign Minister Mohammad Javad Zarif argued the proposals were in violation of the worldwide nuclear non-proliferation treaty.
    DC's groundhog makes his prediction on spring - 6 more weeks

    DC's groundhog makes his prediction on spring - 6 more weeks

    The event now attracts up to 30,000 visitors to Punxsutawney, Jefferson County, located about 80 miles northeast of Pittsburgh. We had a warm winter season in 2017, making it that Punxsutawney Phil's forecast of six more weeks of winter to be false.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.