California’s attorney general has opened a criminal investigation into potential criminal wrongdoing by Wells Fargo for its fake accounts scandal, according to multiple reports Wednesday evening.
The state’s Justice Department served a search warrant to the bank on Oct. 5. The warrant was released to the Associated Press on Wednesday.
Agents are looking for evidence that would confirm bank employees’ allegations they were pressured to create nearly 2 million fake bank and credit card accounts without customers’ approval to meet their sales goals. Authorities are hoping to uncover the names of customers who have been affected by the scheme, as well as employees and managers involved.
Attorney General Kamala Harris, leading California’s charge against Wells Fargo, is running for a U.S. Senate seat.
The bank has undergone heavy criticism since last month, when it was fined $190 million by the Consumer Financial Protection Bureau and other regulators last month to settle civil charges over the scheme. CEO John Stumpf retired last week under pressure in the wake of the scandal.
In testimony to Congress about the scandal, Stumpf had faced harsh rhetoric from both sides of the aisle. Sen. Elizabeth Warren, D-Mass., had slammed his “gutless leadership” and called on him to resign.
Several members of Congress have called for federal regulators to investigate Wells Fargo’s executive leadership for securities law and labor standards violations, and for the Department of Justice to press criminal charges.
