WSJ: Banks Broaden Clawback Policies
The Wall Street Journal reported that three more top banks will broaden their clawback policies to cover more executives, increase disclosures or add potential triggers. The banks included Capital One, Citigroup and Wells Fargo.
The Journal said that before the “London Whale” there weren’t many known cases in the financial sector. The Dodd-Frank law broadened the rules instituted under the Sarbanes-Oxley Act, which gave companies the power to recoup pay from top executives after a financial restatement or certain misconduct.
The Journal noted that the moves increase to six the number of leading financial companies that have bowed to pressure from the New York City’s comptroller’s office.
To read the Wall Street Journal story click here.