REUTERS - Wells Fargo & Co said eight senior executives, including Chief Executive Tim Sloan and Chief Financial Officer John Shrewsberry, will not receive cash bonuses for 2016, as the bank looks to increase accountability following a sales scandal.
The three-year equity awards made in 2014 will also be reduced by up to 50 percent for the executives, the lender said on Wednesday.
Wells Fargo said the board had taken these actions based on the accountability of all those in senior management and not on any findings of improper behavior in its ongoing independent investigation of the sales scandal.
Since the scandal and paying a $185 million fine, the third-largest U.S. bank by deposits has been trying to show it is holding the management accountable.
The scandal led to the departure of former Chairman and Chief Executive Officer John Stumpf last October, who along with another executive forfeited tens of millions of dollars in compensation.
The Wall Street Journal said last month that Wells Fargo’s board was likely to eliminate 2016 bonuses for the bank’s top executives, citing people familiar with the matter.
Reporting by Sweta Singh in Bengaluru; Editing by Sriraj Kalluvila