Wells Fargo CEO forfeits stock awards worth $41 million as company launches probe

[erpowers]

Source: CNN.com

Wells Fargo CEO John Stumpf will forfeit much of his 2016 salary -- including his bonus and $41 million in stock awards -- as the bank launches a probe into its phony accounts scandal.

The fallout from the controversy has also resulted in its first major executive departure. Carrie Tolstedt, who headed the division that created the fake accounts, has left the company. Tolstedt was planning on retiring at the end of 2016, but she has exited the company ahead of schedule. She will not receive a bonus or severance.

The company's board of directors also said Tuesday that it's launching an investigation into the company's sales practices. During the company's investigation, Stumpf will work for free. He won't receive pay of any kind.
That, and the decision to "claw back" Stumpf's equity rewards by $41 million and Carrie Tolstedt's executive compensation by $19 million, comes just before Thursday's big Wells Fargo (WFC) hearing in front of the House Financial Services Committee and amid a string of embarrassing headlines about the opening of unauthorized accounts.

Read more: http://money.cnn.com/2016/09/27/investing/wells-fargo-ceo-clawback-john-stumpf-tolstedt/index.html

[truthisfreedom]

1. HEY, now that's good news!

Let's hold their feet to the fire, responsible government officials BEING PAID WITH OUR TAX DOLLARS TO LOOK OUT FOR US.

[dixiegrrrrl]

16. This is due to Elizabeth Warren.!!!!!

She went public with her dressing down of the bank and they are re-acting out of feat of what more she might do on the Committee.

Good on her!

[onehandle]

2. Iceland his ass...

Iceland Has Jailed 29 Bankers. Why Can’t the UK and US Do the Same?

http://www.huffingtonpost.com/stefan-simanowitz/iceland-has-jailed-29-bankers_b_8908536.html

[lindysalsagal]

3. Its a start. Let's see him forfeit his back pay and his houses.....

[TexasBushwhacker]

4. And he'd better not get a fucking golden parachute n/t

[ToxMarz]

5. If he is voluntarily forfeiting $41 million

it means there is far more on the line, and they should go after EVERY PENNY, and then a sufficient amount more of his personal unconnected wealth as a deterrent/punishment/restitution/court costs.

[benld74]

6. Resign u tool!!

[the_sly_pig]

7. Prison sentence. eom

[Initech]

8. He should get ZERO and his ass sent to Supermax.

And Wells Fargo should give that money back to the people they stole it from.

[Astraea]

9. 41 MILLION??

First of all, why is ANYONE able to make 41 MILLION DOLLARS? Are shareholders just completely blind or something? A huge waste of money. You're telling me you couldn't find ONE capable, qualified person willing to that job for one million? We seem to be able to export every job because the workers here "make too much money", but it never seems to apply to these fuckers.

[safeinOhio]

11. Trickle down in action.

Pay CEOs big bucks and watch the little people get rich too. Like those poor customers.

[Zo Zig]

10. I Call Bullshit

The board was unaware of these practices, and is just now calling for an investigation?
BULLSHIT!

[Javaman]

12. damn, there goes that castle he had his eye on. nt

[Tanuki]

13. Kudos to Sen. Elizabeth Warren for pursuing this and holding Stumpf's feet to the fire in the recent

hearings. He would have succeeded in scapegoating the lower level employees and walked away with all that money if she had not brought this to the public's attention. I hope that the upcoming hearings are equally productive and informative.

[moondust]

14. Poor guy.

Robbing him blind! I'm sure he did something really superhuman that nobody else could have done and deserves at least a billion or two but now he may end up almost a beggar:

But even if CEO John Stumpf were fired, he still stands to walk away from the bank with at least $102.7 million.

http://fortune.com/2016/09/26/john-stumpf-wells-bank-resign/

[ancianita]

15. ONLY because Wells Fargo stock value is about to fall.