SALT LAKE CITY–The first lawsuit has been filed against Wells Fargo by customers in the wake of news the bank had for years been charging fees to customers for accounts they had never opened.
The proposed class action suit, filed in U.S. District Court in Utah here, accuses the bank of invasion of privacy, committing fraud, negligence, and breach of contract. The plaintiffs—there are three—are asking for compensation to cover damages related to identity theft, anxiety and emotional distress, and legal fees.
"Wells Fargo's resulting market dominance has come at a significant price to the general public, because it has been achieved in large part through an ambitious and strictly enforced sales quota system," the complaint reads.
The complaint goes on to allege that Wells Fargo managers and bankers took part in unethical techniques to improve sales numbers.
As CUToday.info has reported, Wells Fargo said it has fired 5,300 employees in relation to the scam. It also agreed to pay $185 million in fines and refund $5 million to customers.
But its problems may just be beginning. As CUToday.info is also reporting, the Department of Justice has opened an investigation and has issued subpoenas to the bank. And Congress has also announced it plans to investigate.
Separately, Wells Fargo Wells now says it will also drop an advertising series that drew criticism from some for suggesting teens give up their dreams of being artists and performers and instead choose careers in science.
The print ad series was designed to promote a “teen financial education day” and featured an image of a smiling young woman with the headline: “A ballerina yesterday. An engineer today.” Another ad featured a young man with the headline: “An actor yesterday. A botanist today.” Each picture featured the tagline, “Let’s get them ready for tomorrow.”
Among the critics of the ad were a number of prominent artists who aired their complaints via social media. Among them was the singer Josh Gorban.