NEW YORK: Federal prosecutors are investigating foreign-exchange trading at Wells Fargo & Co and have subpoenaed information from the firm, the Wall Street Journal reported.
The investigation, according to the report, relates to a single trade and ensuing dispute with client Restaurant Brands International Inc, owner of Burger King, Tim Horton and Popeye‘s.
The investigation, which is in early stages, is being conducted by the US Attorney’s Office for the Northern District of California, the Journal reported.
“Wells Fargo learned of an issue associated with a foreign exchange transaction for a single client.
The matter was reviewed, the client was promptly notified regarding the issue and Wells Fargo leadership took steps to hold accountable the individuals who were involved,” bank spokeswoman Elise Wilkinson said in an e-mail.
Wilkinson said last Friday that four Wells Fargo forex employees, Simon Fowles, Bob Gotelli, Jed Guenther and Michael Schauffler were no longer with the bank.
The third-largest US bank has been trying to recover from a sales scandal over as many as 3.5 million fake accounts created by its employees in an effort to meet aggressive sales targets.— Reuters
Oman Observer is now on the WhatsApp channel. Click here
