RSM100Y1 Study Guide - Midterm Guide: Kunal Bahl, John Stumpf, Snapdeal
Document Summary
Session 3: (cid:862)wells fargo ceo joh(cid:374) tu(cid:373)pf is out(cid:863) Accused of creating many as two million fake bank and credit card accounts. He retired after he was publicly condemned for gutless leadership. John stumpf: said he was deeply sorry and insisted there was no scheme. He ga(cid:448)e the i(cid:373)p(cid:396)essio(cid:374) that he (cid:449)as(cid:374)"t fully i(cid:374) (cid:272)ha(cid:396)ge of the (cid:272)o(cid:373)pa(cid:374)y. Yale guy said he (cid:449)as a (cid:862)dee(cid:396) (cid:272)aught i(cid:374) the headlights (cid:449)ith a ti(cid:374) ea(cid:396) i(cid:374) u(cid:374)de(cid:396)sta(cid:374)di(cid:374)g, addressing, and communicati(cid:374)g the p(cid:396)o(cid:271)le(cid:373)(cid:863) He used to pride himself in keeping the culture of the company. Employees say it was the banks pressure cooker sales environment that made staffers open fake accounts. A lot of employees were fired because they reported the ethics problem. He was also named ceo of the year in 2015 and they applauded him for shunning activities that put profits ahead of customers. His retirement was an admission of wrong doing. Shares went up 2% in after-hours trading.
