Bloomberg Law
March 1, 2019, 2:24 PM

Wells Fargo Leaders Reach $240 Million Fake Accounts Accord (1)

Peter Blumberg
Peter Blumberg
Bloomberg News

Wells Fargo & Co. executives and directors accused of steering the bank into the creation of millions of fake customer accounts agreed to reimburse the lender an additional $240 million through their insurers and to implement sweeping corporate governance reforms.

The shareholders who sued on behalf of the bank said it’s “the largest insurer-funded cash recovery of any settlement” collecting damage payments for a company from its own board, according to a request for court approval of the deal filed Feb. 28 in San Francisco federal court. The proposed reforms, along with compensation forfeited by former senior executives, brings the ...