Wells Fargo Case Study - 1666 Words

Fraud At Financial Institutions: What Does The Wells Fargo Cases Portend For Policy In The United States? Wells Fargo under fire after U.S. House Financial Services Committee announced they would launch an investigation into the bank. There were allegations that employees had been covertly creating bogus accounts without customer authorization for years. In this paper, I will provide an analysis of Wells Fargo fraudulent activity in the State of California by opening as many as 2 million fraudulent deposit and credit card accounts that customers didn t need or desire. Wells Fargo the second-largest bank violated the privacy/trust of these customers and then only fired 5,300 or its 268,000 employees for its illegal and bogus sales†¦show more content†¦(Kim,2015) Sandbagging -banker can delay opening new accounts or processing a sale until a time that is most beneficial, such as a new sales reporting period.(Kim,2015) Racketeering violations- Forgery is the process of making or adapting documents with the intention to deceive. It is a form of fraud and is often a key technique in the execution of identity theft. Uttering and publishing is a term in United States law for the forgery of non-official documents. (Kim, 2015) Corporate Fraud -consists of activities undertaken by an individual or company that are done in a dishonest or illegal manner, and are designed to give an advantage to the perpetrating individual or company (Kim, 2015) Theft-When they take someone’s property or home â€Å"illegally† with fraudulent documents. Which Wells Fargo repossessed customer vehicles who couldn’t afford to pay their insurance that was never wanted. (Kim, 2015) Mail fraud-an offense under United States federal law, in which fraudulent misrepresentations and schemes to defraud which use the United States Mail to further that fraudulent conduct and can be prosecuted as â€Å"mail fraud.† Wells Fargo sent out false statements as if it was a fact/true. (Kim, 2015) 3 Tier Criminology Theories Rational Choice Theory-†assumes that all people try toShow MoreRelatedCase Study : Wells Fargo 1017 Words   |  5 PagesWeek One Assignment Introduction Wells Fargo, recently known as Wachovia is a well-known financial institution, one of the nation’s largest financial institutions to be exact. Wells Fargo is located in over 130 countries around the world and they serve more than 700 million customers. It was founded by a Henry Wells and William Fargo, hence where the name comes for; Wells Fargo, in 1852. Like any business or company they must have structure in order to run smoothly and to be as successful as theyRead MoreWells Fargo Case Study1635 Words   |  7 PagesWELLS FARGO The bank relied on customer service representatives to cross sell its products and hit sales quotas. Because there was much demand on the representatives, they began fraudulently opening customer accounts. (Fortune) Though the accounts were closed before customer realized, some customers were charged fees or their credit was affected by the situation. (Fortune) The bank was forced to return $2.6 million in fees and had to pay $186 million in fines to the government. (Fortune) Wells FargoRead MoreWells Fargo Case Study1370 Words   |  6 Pagesin the sector. Wells Fargo’s cross-selling culture helps them gain many new customers by opening multiple bank accounts for new and existing customers. Also by opening accounts for non-existing names. These actions attracted the attention of the mass media. According to Emily Glazer (2016), a frequent contributor to the Wall Street Journal, â€Å"for more than 15 years, selling more products to customers has been a driving force of the San Francisco Company† (para. 3). The Wells Fargo bank fell by itsRead MoreCase Study : Wells Fargo Bank1401 Words   |  6 PagesWells Fargo Stumbled by Its Cross-selling Culture because Of an Abortive Management System caused by Unethical Behavior The Financial sector is confronted with high rate of competition. Getting new customers, increase turnover, integrating with new and existing information technology changes. A banking institution will not be left out of the contest to become the highest performing unit in the sector. Wells Fargo bank cross-selling culture which helps them to gain a lot of new customers by openingRead Morewells fargo case study Essay14125 Words   |  57 Pagesï » ¿Wells Fargo Group Marketing 304 Professor Kiesler 2:00 P.M. – 3:15 P.M. T/Th 9 May 2007 Wells Fargo: Marketing Plan Kevin De Place Bill Ho Ryan Neal Diana Suranyi Kevin Yetter Executive Summary Our team constructed a marketing plan of the company Wells Fargo. The first half of the report covers the company background by finding information about it, its competition, and the environment to see how the company standsRead MoreCase Study Of Wells Fargo s Business Process Management974 Words   |  4 Pagestypes of IT(information technology) to cope with challenge in the market for a business .The first part of this article illustrate the definition of the business process to explain how IT can enhance it. Then we will introduce the successful case of Wells Fargo s business process management to show the important role of IT tools in strengthening business processes. Finally we concluded by indicating the limitations of the business process to consider the future development and give some recommendationsRead MoreOur Paper Today Will Be On Wells Fargo. Wells Fargo Is1354 Words   |  6 PagesOur paper today will be on Wells Fargo. Wells Fargo is an American bank that was creat ed in 1852 by Henry Wells and James Fargo. It is the second largest bank in the USA in terms of market cap, operates in over 42 countries around the world, and has over 260,000 employees. In 2016, federal regulators caught Wells Fargo creating millions of fake bank and credit card accounts; over 1.5 million bank accounts were created. Furthermore, federal regulators also said that 565,443 credit cards wereRead MoreEthical And Legal Boundaries Of Wells Fargo1355 Words   |  6 PagesWells Fargo is an American bank that was created in 1852 by Henry Wells and James Fargo. It is the second largest bank in the USA in terms of market cap, operates in over 42 countries around the world, and has over 260,000 employees. In 2016, federal regulators caught Wells Fargo, creating millions of fake bank and credit card accounts; over 1.5 million bank accounts were created. Furthermore, federal regulators also said that 565,443 credit cards were created, and 1400 of those accounts hadRead MoreEthical Norms Of The Workplace Essay1727 Words   |  7 Pagesforced to take actions that are in direct opposition of them. When faced with this situation an employee may make the choice to blow the whistle, either internally or externally, or to remain silent and become an observer of this misguided behavior. Studies have shown that nearly half of employees that are aware of wrongdoing choose to remain silent (MacGregor Steubs, 2014). You may wonder what would cause an employee to remain silent, which is essentially a calculated decision to allow the fraud toRead MoreCash Connection Essay1718 Words   |  7 PagesStates industry has to offer, while adhering to government restrictions and meeting customer’s needs. Reference: Thompson, Peteraf, Gamble, and Strickland. P. (2010). Crafting and Executing Strategy: The Quest For Competitive Advantage Concepts and Cases (18th ed.). Page, C-114. Which of the five generic strategies discussed in Chapter 5 most closely fits the competitive approach that Cash Connections is taking? * I choose a broad differentiation strategy as a best fit. Allen Franks seeks to