Religious Sectors Lose Confidence Over Wells Fargo
A group of Investors had pulled out again at Wells Fargo.
This time, a group of religious of investors (Nuns) had already filed a shares resolution against the bank. It is calling for its two root cause things. One is what is the root cause of the scandal and two, is discuss improve controls.
The faith-based investors say that they also want the report to cover improve control after the revelation that the bank employees open as many as 2 million checking, savings and credit accounts without the costumers permission for them to meet sales quota.
A nun who is director of corporate social responsibility for the Catholic religious order.
Wells Fargo spokesperson declined to give a comment regarding on the said issue.
The shareholder resolution proposed for the banks annual meeting to be held next spring and will show how the tables had turned for Wells Fargo.
Coming out from this said issue or financial crisis has initially take less criticism than other large lenders including JPMorgan Chase & Co and Bank of America.
Board of the Wells Fargo had already taken steps since the settlement to address the concern, such as starting their own investigations and having Stump forfeit $41 million worth of unvested stock awards and his 2016 bonus.
The resolution resembles once filed by one of the sisters of the St. Francis of Philadelphia in 2014.
Finance professor of the University of Delaware, Charles Elson said "the resolution, if they got a big vocc has impact, but there is so much more going on here. I think at this point this is not a major concern".
Also, Tim Brennan , the association's treasurer said that while Wells Fargo already has a code of conduct, the scandal shows the code "had nothing to do with the way the business was conducted"