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How to Get Justice After the Wells Fargo Scandal


How to Get Justice After the Wells Fargo Scandal

Katrina vanden Heuvel

Wells Fargo’s abuse of its customers — its employees opened some 2 million accounts and credit cards for depositors who may not have wanted them — has sparked deserved outrage. Sen. Elizabeth Warren (D.-Mass.) charged Wells Fargo chair and chief executive John Stumpf with “gutless leadership,” calling on him to resign and give back the pay he pocketed, and called on the Justice Department to launch a criminal prosecution.


The law of gravity, as applied with the guillotine, would work wonders!


Another way to get justice is to begin pressuring municipalities and counties that bank with Wells Fargo to drop it as its banker. Counties and cities will have signed,usually a four year-contract with Wells Fargo to deposit their tax money, fees, operating expenses etc. It's a matter of finding out how close they are to completing their contract, but put the pressure now when it matters most.

This takes care of at least three things:

  1. It punishes a "too big too fail bank" (TBTF) where it hurts most: its earnings, public image etc
  2. It puts real teeth in delivering justice for fraud where Congress action has only given a slap on the wrist of bank fraud. In Wells Fargo's case it's more like getting a parking ticket for a billion dollar stick-up.
  3. I opens up the dialogue to begin exchanging local TBTF banking for a public banking option along the lines of the Bank of North Dakota. The public banking movement which is taking off thoroughout the nation. (www.publicbankinginstitute.org)

Although I strongly support Post Office banking, a city or county public bank would act more as a wholesale bank rather than a retail bank as the Post Office Bank would. A local public bank would work with community banks to generate credit for small businesses which historically create the bulk of new jobs in this country. It is only one of its most interesting, creative and promising fetures.


Hard to stomach listening to republicans scream about all the job killing regulations on Banks and yet here we are looking again at how the Banks never learn and continue illegal skullduggery...And we can see first hand how citizen united is destroying our country....Banks buy crooked republicans and democrats to pass laws letting them run wild.. using the regulations are bad for business BS.....