August 25, 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

Oakley Founder Relists Beverly Hills Fortress for $65.995 Million

August 25, 2025

August 25, 2025

James Jannard’s Brutalist Mansion in Trousdale Estates For Sale The brutalist estate built by Oakley founder James Jannard is back...

18-Year-Old Woman Fatally Shot While Trying to Break Up a Fight on a Metro Bus

August 24, 2025

August 24, 2025

Police Say the Teen Was Killed in Westchester After Intervening in a Dispute  Efforts to break up a fight on...

Chuck Lorre Buys $27.5 Million Bel Air Mansion With Hollywood Regency Pedigree

August 24, 2025

August 24, 2025

TV Producer Closed on the John Elgin Woolf–Designed Estate at a Discount Chuck Lorre, the television producer behind The Big...

Is $1,500 Enough Anymore? The L.A. Tradeoffs Between Address and Actual Living Space

August 24, 2025

August 24, 2025

New Analysis Shows What 1500 Really Buys in the LA Metro In Greater Los Angeles, $1,500 rents less space than...

Two Days, Two Denials: Menendez Brothers Rejected for Parole

August 23, 2025

August 23, 2025

Erik Denied After 10-Hour Hearing; Lyle Rebuffed the Next Day Erik Menendez, convicted along with his brother in the 1989...

Rob Reiner to Attend for ‘This is Spinal Tap’ as Cinespia Wraps Summer at Hollywood Forever

August 23, 2025

August 23, 2025

Cinespia Closes Out Summer: Fan Favorites and DJs Return to Hollywood Forever Cinespia will close out summer with four outdoor...

Amber Alert for a Critical Missing Incident: Two Foster Brothers Abducted

August 23, 2025

August 23, 2025

Police Seek Non-Custodial Mother Jackeline Hernandez-Torres The California Highway Patrol issued a statewide Amber Alert after two foster brothers, ages...

Man Arrested After Burglary Report at Lionel Richie’s Beverly Hills Home

August 22, 2025

August 22, 2025

Police Say the Singer Was Home When the Suspect Entered the Property One suspect was taken into custody early Friday...

Extreme Heat Warning Extended in L.A. County: Officials Urge Safety Precautions

August 22, 2025

August 22, 2025

National Weather Service Alerts Cover Valleys, Mountains, and Coastal Areas Dangerous heat is expected to persist through the weekend in...

Jury Awards $3.8M to Man Injured by Rubber Bullet During 2020 George Floyd Protest in the Fairfax District

August 22, 2025

August 22, 2025

Filmmaker Suffered Permanent Injuries After Being Struck by a Sheriff’s Deputy’s Round Los Angeles County must pay nearly $4 million...

LAPD Urges Possible Victims to Come Forward in Sexual Assault Case Linked to Social Media

August 22, 2025

August 22, 2025

Suspect Arrested Aug. 20 on Suspicion of Forcible Rape Los Angeles police are asking for the public’s help in identifying...

Frozen Shrimp Recall Expanded to California After Radioactive Contamination Concerns

August 21, 2025

August 21, 2025

Southwind Foods Adds California Shrimp Recall Tied to Possible Cesium-137 Exposure Southwind Foods, LLC is recalling select packages of frozen...

LAPD to Step Up DUI Enforcement With Weekend Checkpoints and Patrols

August 21, 2025

August 21, 2025

Police Plan Multiple Operations Across Los Angeles August 22-24  The Los Angeles Police Department will operate a series of DUI...

Little C by Crustacean Pop-Up Brings Back Mama An’s Street Food in Beverly Hills

August 21, 2025

August 21, 2025

Fan-Favorite Dishes Return Through Aug. 24, With the Debut of Bánh Xèo Little C by Crustacean has returned this month...

Kids Eat Free at Tender Greens Century City During Back-to-School Nights in August

August 20, 2025

August 20, 2025

Weeknight Promotion Offers Free Kids’ Meals With the Purchase of an Entrée. Families dining at Tender Greens in the Westfield...