August 3, 2025 #1 Local News, Information and Event Source for the Century City/Westwood areas.

Wells Fargo to Pay $50 Million in Penalties to City of Los Angeles

Wells Fargo will pay $50 million in penalties to the city of Los Angeles and restitution to customers as part of a settlement resolving litigation alleging the company opened up bank accounts without customers’ permission, the City Attorney’s Office announced today.

The settlement with Wells Fargo is on top of at least $135 million in penalties that the bank has also agreed to pay to two federal agencies over similar allegations.

The settlement stems from a lawsuit City Attorney Mike Feuer filed against Wells Fargo last May after the Los Angeles Times reported on the alleged fake accounts that were created without customers’ knowledge and led to customers racking up bank fees.

The City Attorney’s Office also has required that Wells Fargo set up a system for customers to claim restitution, under the settlement. The $50 million civil penalties under the city settlement will go toward “future consumer protection,” according to Feuer’s office.

Feuer called the settlement “a major victory for consumers.”

“We’re holding Wells Fargo accountable and assuring the violations we’ve alleged never happen in the future,” he said. “This extraordinary resolution sends a strong message — to big banks and consumers alike — that we’ll be vigilant in protecting consumer rights.”

Wells Fargo said the agreements were made with its customers in mind and out of a desire to show accountability.

“Wells Fargo reached these agreements consistent with our commitment to customers and in the interest of putting this matter behind us,” the company said in a prepared statement. “Wells Fargo is committed to putting our customers’ interests first 100 percent of the time, and we regret and take responsibility for any instances where customers may have received a product that they did not request.

“Our entire culture is centered on doing what is right for our customers. However, at Wells Fargo, when we make mistakes, we are open about it, we take responsibility and we take action. Today’s agreements are consistent with these beliefs.”

The Consumer Financial Protection Bureau, one of the federal agencies that also reached a settlement with Wells Fargo, has alleged the bank opened hundreds of thousands of deposit and tens of thousands of credit card accounts without their customers’ knowledge or permission.

The fake accounts were set up by bank employees to achieve sales goals and reap financial incentive rewards, and the bank fired about 5,300 employees as the result of the allegations, according to the CFPB.

The CFPB’s settlement requires Wells Fargo to pay $100 million in penalties, while the other federal agency, the Office of the Comptroller of the Currency, has secured a settlement requiring the bank to pay $35 million in penalties.

Related Posts

Two LA County Deputies Charged in Off-Duty Scheme Tied to Crypto ‘Godfather’

August 2, 2025

August 2, 2025

Deputies Accused of Abusing Law Enforcement Powers for Beverly Hills Mogul One Los Angeles County Sheriff’s Department deputy pleaded guilty,...

Metro Releases Draft Environmental Report for Sepulveda Transit Project, Public Comment Now Open

August 2, 2025

August 2, 2025

Six Route Alternatives Under Review for Valley-To-Westside Connection The Los Angeles County Metropolitan Transportation Authority (Metro) has released its Draft...

National Night Out Returns to Beverly Hills With Police Demos, Kids’ Activities, and DJ Music

August 1, 2025

August 1, 2025

Beverly Hills Police and Fire Departments Invite Public to Family-Friendly Night Out  The City of Beverly Hills will transform the...

City Installs Crosswalks In Sawtelle District After Residents Paint Their Own

August 1, 2025

August 1, 2025

Los Angeles Begins Official Safety Upgrades Near Stoner Park City crews began installing official crosswalks Friday near Stoner Park in...

HARD Summer Returns This Weekend With New Sound Strategy After 2024 Noise Complaints

August 1, 2025

August 1, 2025

Sold-Out EDM and Hip-Hop Festival Runs Saturday and Sunday at Hollywood Park The HARD Summer music festival is set to...

Trump Administration Freezes $200M in UCLA Research Funds Over Student Protests

August 1, 2025

August 1, 2025

UCLA Says Freeze Harms Life-Saving Research With No Connection to Stated Reason Donald Trump’s administration has blocked $200 million in...

LAPD Honors Sgt. Shiou Deng as ‘Gold Standard of Selflessness’ at Memorial Service

July 31, 2025

July 31, 2025

Veteran Officer Remembered After Being Killed While Aiding Crash Victims in Brentwood Family, colleagues, and fellow officers gathered Thursday morning...

1,000 Additional National Guard Troops Withdrawn From LA as Federal Presence Continues to Shrink

July 31, 2025

July 31, 2025

National Guard Presence in Los Angeles Slashed Again Amid Ongoing Rollback Roughly an additional 1,000 National Guard troops have been...

Luxury Watches Stolen From Keanu Reeves Recovered in Chile, To Be Returned to Actor

July 31, 2025

July 31, 2025

Six Rolex Watches Worth Over $120,000 Were Seized in Santiago Police Raid Six high-end watches stolen from actor Keanu Reeves’...

Aging Mindfully: Zen-Inspired Senior Living Takes Shape in Simi Valley

July 31, 2025

July 31, 2025

Two Zen-inspired senior living communities are embracing the reality of aging — consciously. Ensō Village, open since 2023 in Sonoma County,...

The Getty Unveils Trellis Bar & Lounge: Sip Art-Inspired Cocktails with a Gorgeous View

July 31, 2025

July 31, 2025

New Alfresco Experience Offers Seasonal Drinks, Light Bites, and Stunning Architecture Visitors to the Getty Center can now unwind with...

Lulu Hosts Summer Tardeada With Guest Chef From Oakland’s Bombera

July 30, 2025

July 30, 2025

Chef Dominica Rice-Cisneros Joins Alice Waters for a Courtyard Celebration Lulu, the acclaimed restaurant located at the Hammer Museum, will...

Film Review: Together

July 30, 2025

July 30, 2025

By Dolores Quintana Dave Franco and Alison Brie, a married couple in real life, star in Michael Shanks’ gruesomely passionate...

Heidi Klum’s Tropical Erewhon Smoothie Drops Just in Time for Summer

July 30, 2025

July 30, 2025

Supermodel’s Limited-Edition Drink Blends Kiwi, Coconut, and Matcha Erewhon has debuted its newest celebrity smoothie collaboration, this time with supermodel...

Westchester Del Rey Stuns Tucson With 11-Run Inning to Reach World Series

July 30, 2025

July 30, 2025

Westside Team Heads to Greenville, North Carolina to Compete for Glory  Westchester Del Rey Little League is headed to the...