Tue, Dec 03, 2019 – 9:03 AM
[BENGALURU] Wells Fargo & Co said on Monday that Scott Powell will become its chief operating officer (COO), the second external recruit to join the top ranks since chief executive officer (CEO) Charles Scharf took over six weeks ago.
Mr Powell, who worked with Mr Scharf at Bank One and then JPMorgan Chase & Co, most recently was CEO of Santander Holdings USA, as well as of Santander Consumer USA Holdings.
Starting Dec 9, Mr Powell will focus on Wells Fargo’s relationships with regulators, which have been strained since the bank became tangled in a wide-ranging sales practices scandal in 2016.
The San Francisco-based bank is currently operating under more than a dozen regulatory consent orders, including an unprecedented growth restriction on its balance sheet from the US Federal Reserve until the bank proves it has fixed its risk controls. Additionally, Wells Fargo faces federal probes by the Department of Justice, the Securities and Exchange Commision and the Department of Labor.
“I wouldn’t count on any quick wins,” Mr Powell told Reuters by telephone. “This is tough stuff, but it’s all very doable over time.”
During his tenure at Santander US, Mr Powell was credited with turning around the bank’s financials and fixing regulatory issues, experience he said will help him in his new role.
Last month the bank hired another former…