Sen. Elizabeth Warren on Monday asked the Federal Reserve to remove 12 members of the Wells Fargo board of directors as a result of the bank's fake account scandal.
In a letter to the Federal Reserve Chairwoman Janet Yellen, Warren called for the members on the Wells Fargo board who served during the scandal, between May 2011 and July 2015, to be expelled.
"I urge you to exercise your legal authority to remove the holdover Wells Fargo Board members," Warren wrote.
Since the bank shelled out $185 million to regulators in September over the fake accounts scandal, Democrats have pointed to it as an example of big bank recklessness that illustrates the need for government oversight. At the same time, Republicans have faulted regulators for failing to stop Wells Fargo from creating millions of accounts for customers without asking them.
Ultimately, former CEO John Stumpf stepped down because of the scandal and the withering congressional response.
More than 5,000 Wells Fargo employees were fired over the five years of the scandal, but leadership was accused of creating demanding quotas, which incentivized employees to create these accounts.
"The failure of the Wells Fargo Board to create adequate risk management practices — as detailed in the Shearman & Sterling Report — both violated Federal Reserve regulations and constituted unsafe and unsound practices under Federal Reserve guidance," Warren wrote.
She added, "The Federal Reserve must hold the Wells Fargo Board members accountable for their risk-management failures — both to ensure the safety and soundness of one of the country's biggest banks and to show the rest of the banking industry that poor risk management practices will not be tolerated."
Warren was very critical of the bank during Senate hearings on the scandal and Stumpf, who was removed as CEO and chairman of the board for Wells Fargo in October 2016. All members of the board were re-elected to one-year terms in April.