Wells Fargo will pay New York state $65 million after producing fraudulent statements to investors about its “cross-sell” business model, which led the bank’s employees to open millions of fake accounts without customers’ knowledge, Attorney General Barbara Underwood said Monday.
The penalty is part of an investigation by the state into the bank’s business practices, which came under scrutiny in 2016 when federal regulators revealed employees had created more than 2 million fake accounts to meet sales targets.
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