Wells Fargo fires over 100 staffers for COVID-19 relief abuse

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Wells Fargo has reportedly fired more than 100 staffers after an internal investigation found they had fraudulently applied for and received coronavirus relief funding for themselves.

The embattled megabank made the disclosure in a memo to staffers, alerting them that some of their colleagues had been fired for improper use of the the Small Business Administration’s Economic Injury Disaster Loan program, according to Bloomberg.

“These wrongful actions were personal actions, and do not involve our customers,” said the memo by David Galloreese, head of the bank’s human resources division who pledged that the bank would cooperate fully with authorities on any further investigation.

Wells Fargo shocking action comes after JPMorgan Chase in early September fired dozens of employees for abuses of the Economic Injury Disaster Loan program.

Regulators have been encouraging lenders to look out for suspicious activity related to coronavirus relief funding, especially involving $10,000 advances to small businesses that are not required to be repaid.

The revelations come as Wells Fargo, led by Charlie Scharf, has been seeking to refurbish its reputation following a series of consumer financial scandals.

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