Independent Community Bankers of America (ICBA) President and CEO Camden R. Fine released the following statement on the Federal Reserve’s penalties against Wells Fargo for pervasive and persistent misconduct that included the creation of millions of phony customer accounts.
“ICBA commends the Federal Reserve and former Chair Janet Yellen for heeding the community banking industry’s repeated calls for equitable treatment of Wells Fargo following the megabank’s repeated consumer abuses. Following ICBA’s calls last year to replace the Wells Fargo board and senior management, the newly announced restrictions on its growth, the removal of four board members, and the required improvements to its governance and risk management controls will help protect consumers from future mistreatment.
“While the Fed’s actions are a step in the right direction, regulators must ensure that all too-big-to-fail banks are held fully accountable for illegal actions—not just when public pressure is brought to bear. Had the Wells Fargo scandal taken place at a community bank, the board and senior managers would have been removed months ago and would be facing prosecution. All banks, regardless of size, should always be held equally accountable for misconduct.
“The wrongdoing at Wells Fargo and other systemically risky financial institutions has tarred the good reputations of thousands of community banks and bankers who serve their communities and customers honestly every day. ICBA continues to encourage the Fed and other regulators to ensure equitable treatment of Wall Street and Main Street financial institutions at all times.”
The ICBA, the nation’s voice for nearly 5,700 community banks of all sizes and charter types, is dedicated exclusively to representing the interests of the community banking industry and its membership through effective advocacy, best-in-class education and high-quality products and services.
