Wells Fargo to pay US$3bil to US over fake-accounts scandal

Charles Scharf, Wells Fargo's new chief executive, described the past conduct as "reprehensible." Wells Fargo is the fourth-largest U.S. lender.

WASHINGTON: Wells Fargo & Co will pay US$3 billion to resolve criminal and civil probes into fraudulent sales practices and admitted to pressuring employees in a fake-accounts scandal, U.S. officials said on Friday, wrapping up one of the last major investigations looming over the bank.

Wells Fargo will pay the penalties to the U.S. Justice Department and Securities and Exchange Commission and enter into a three-year deferred prosecution agreement during which the San Francisco-based bank will continue to cooperate with any ongoing government investigations, Justice Department officials said.