Wells Fargo has fired more than 125 workers for misrepresenting themselves to acquire cash from a relief fund for small businesses, and whose actions may have amounted to defrauding the US Small Business Administration.
In a memo to some staff Wednesday, Wells Fargo human resources head David Galloreese wrote that the bank recognized employees whom it thinks may have “defrauded the U.S. Small Business Administration (SBA) by making false representations in requesting pandemic relief funds on their own through the Economic Injury Disaster Loan program, which is administered directly through the SBA.”
Between 100 and 125 Wells Fargo employees were fired as a result, and an internal investigation is ongoing.
The memo was reported previously by Bloomberg News.
Galloreese noted in the memo that the employees’ actions revealed Wednesday were taken beyond the workers’ work duties and did not include consumers.
“We have zero tolerance for fraudulent behavior and will continue to look into these matters,” Galloreese said in the Wednesday memo. “If we identify additional wrongdoing by employees, we will take appropriate action.”
He included that the company will fully cooperate with law enforcement.
“As a company, we are vigilant in detecting fraud,” he said. “While these instances of wrongdoing are extremely unfortunate and disappointing, they are not representative of the high integrity of the vast majority of Wells Fargo employees.”