Sept 14 Federal prosecutors are in the early
stages of an investigation into sales practices at Wells Fargo &
Co, the Wall Street Journal reported, citing people
familiar with the matter.
Wells Fargo said last week it would pay $185 million in
penalties and $5 million to customers that regulators say were
pushed into fee-generating accounts they never requested for.
Prosecutors, who have issued a subpoena for Wells Fargo's
documents and materials, are yet to decide if any case, if
pursued, would be along civil or criminal lines, the Journal
The investigation is being conducted by the U.S. Attorney's
Offices for the Southern District of New York and the Northern
District of California, the WSJ said.
Wells Fargo investor Tim Smith said earlier on Wednesday it
was "inevitable" that the company would face critical
shareholder resolutions after the giant bank agreed to a $190
million settlement with regulators.
Wells Fargo could not be immediately reached for comment.
(Reporting by Anet Josline Pinto in Bengaluru)