It’s been a busy couple of weeks for Wells Fargo Bank!
On April 4, the LA Times reported that the US Supreme Court declined to hear Wells Fargo’s appeal of a class action lawsuit against the bank that it lost. After losing this lawsuit, Wells Fargo was ordered to pay $203 million related to overdraft fees it had charged Californians from 2004-2008. Read more here: Supreme Court upholds verdict against Wells Fargo on overdraft fees in California
Then, on April 8, Courthouse News Service broke the news that the City of Oakland’s lawsuit against the bank can proceed: Wells Fargo Must Face Oakland’s Lending Suit
And, last Friday, April 8, Wells Fargo agreed to pay the federal government $1.2 billion related to FHA mortgages the bank had underwritten (rather poorly, it turned out). The irony is especially rich on the heels of a recent Paul Krugman article which suggested that main street banks hadn’t really played a role in the mortgage meltdown. Or, the Op-Ed from GE’s CEO, lecturing Bernie Sanders about “creating jobs.” Just don’t remind GE’s CEO about GE’s role in creating the mortgage meltdown with its lender, WMC Mortgage Corp.