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Wells Fargo CEO John Stumpf - Do the right thing (Or Do Something....and QUICK)

I don't generally write about anything other than ActiveRain. Every once in a while I'll write about my kid, but for the most part I try to keep my personal views and opinions to myself. I don't want them reflecting on my company (I have pretty strong views and in my personal life I have no issues sharing them if someone asks.........ok, sometimes I'll just butt in and share them even when I wasn't asked).

Have you guys seen this? A Wells Fargo executive in charge of Foreclosed Commerical properties decided to take full advantage of a home that had been foreclosed on in Malibu. The $12,000,000 home was forfeited by a family that was swindled in the Bernard Madoff Scam. You can read the entire story here, here, here or here and probably 1000 other places......I won't rehash it for you. My post is a plea to John G. Stumpf, CEO of Wells Fargo to do something about it.

Dear John,

You must move swiftly. This is not going to bode well for your company if you don't. You have the ability to let the public know that even the appearance of impropriety will not be tolerated within your company. Most stories of foreclosure are heartbreaking enough on their own, let alone knowing the folks who forfeited their home lost it in the Madoff Ponzi scheme.......but really??? One of your Senior VP's was using the place as a Vacation home and throwing parties there like she's the Great Gatsby??

I'll bet she wasn't the only person from the bank at those parties. What do you think? I'll bet there were more than a few people that knew about this. If you find out that was the culture in her division of your bank, what are you going to do about it? This is not acceptable. I'm not a shareholder in your company, I'm just a concerned member of the real estate community. If I was a shareholder though I would be demanding to know the reprecussions. And I'd want to know them quick, because this story is going to reach MILLIONS of people in the next 24 hours.

You are a Minnesota native, from the midwest, the heart of America. How do you think the folks back in Minnesota would feel about this? Let's just pretend this happened in their community. Not a $12,000,000 beach house, but a magnificent $860,000 place in the Highland area of St Paul. And the Senior VP of their local branch was throwing parties and carrying on in the house as if he deserved to. How do you think that would sit with them?

Do you read the news? Do you keep your ears and eyes open to places like Facebook, Twitter, ActiveRain (you really should be here keeping the pulse of the people). In case you haven't heard, banks are getting a pretty bad rap right now. Yep, your reputations as a whole are kind of soiled. Here is a great chance to rise above the other banks slopping around in the mud and do something that shows your bank is different. Or, you can hide behind statements like 'we plan to conduct a thorough investigation'. Buddy, the investigation was done by the Associated Press. I would suggest your investigators call theirs and you compare notes.

The damage to the reputation of your company is being done RIGHT NOW. Where did I see this? Facebook. Do you know how many millions of people are reading this and hearing about this right now? Be decisive and swift, it's your only chance to make this a positive. 'Wells Fargo is not like these other institutions. We do not take advantage of our customers and if we have rogue employees doing such, they will be punished to the full extent of the law. This employee has been suspended until the completion of the investigation'. That is what you should be saying.

John, I don't think you guys in the ivory tower understand how fast information is moving down here on the street. You don't even have a handle on how your own employees are using social media. I'd extend an invitation to help, but I've already done that. I hope you are able to set an example of how to deal with something of this nature within your organization because lots of people are looking at you to see what you're going to do.

What will you do?

Do you care what I'm doing and thinking? (I can not for the life of me imagine why) If you do, you can find me on some of these places........but remember, if you are offended by anything you see or hear, I didn't force you to follow me!!:

Posted by Bob Stewart - ActiveRain on 09/11/2009 11:45 AM

Comments (151)

Wells Fargo in the ActiveRain Channel

151 Comments on Wells Fargo CEO John Stumpf - Do the right thing (Or Do Something....and QUICK)

SEP

This is a crazy story. I did see a great video on this today

http://www.thinkbigworksmall.com/mypage/player/tbws/16012/272087

Well, I hope Mr. Stumpf reads this, Bob. He should know better than to engage in improper dealings.

Shirley,

Mr. Stumpf was not the one engaged in anything. Let's be clear. He is Wells Fargo CEO and he has a responsibility to their customers and their shareholders to deal with the person that was allegedly engaged in it

Owwwww. There's always that saying.... the company we keep.... And it sure is a relection on THIS company isn't it?

Well my personal experience with "supervisors" and "processors" at Wellsfargo leads me to believe that the executive will only be fired under public pressure, not because Wellsfargo CEO chooses to do the right thing. I have never had a smooth successful transaction with any employee of that company.

These are the same banks squeezing commissions out of Realtors so that they can take full advantage of this market. They have the entire inventory in front of them. That is an investors dream.

A company's reputation is everything.....and the PUBLIC'S PERCEPTION of a company can lead to a company's downfall..... It seems as though the "bigger" a company is, the less they even care about public perception. I'm gonna go read some of your links on this post. Thanks for the info BOB ! I love it when you get on your soap box!

Bob --- good for you to write this post ---guess I must have been hiding under a rock, because this is the first I have heard this story ---let's hope that Mr. Stumpf reads your post and takes your advice. Thanks for sharing.

Mama Liz

Bob: I'm really disappointed to hear this. Unlike Tammy, I've had mostly good transactions (short sales) when dealing with Wells Fargo. They are very responsive. I would expect this out of Bank of America. Not Wells Fargo. Very disappointing.

Bob, I couldn't agree with you more! This is an example of corporate greed at its worst! Thanks for putting this out there! This should be spread around.

Bob - I thought I'd heard it all about the previous party hardy execs and companies like AIG and Goldman Sacha. To see a company like Wells Fargo who's reputation I thought would be above the fray in such antics and now finds itself embroiled in this type of impropriety is an appalling and unconscionable act at the expense of this couple.

I don't think this falls on Wells Fargo. I believe in personal responsibility. This falls squarely on the shoulders of the person accused of doing this. However, how Wells Fargo reacts DOES fall on Wells Fargo. If they react with the same BS we expect from the leaders in our banking institutions then they deserve to be 'in the fray' (as you put it Donna).

Mr. Stumpf needs to act in a manner that his customers and shareholders can be proud of, in spite of the fact they should all think what this one person did was despicable. If Wells Fargo does this, they may be able to turn this into a positive. The longer they wait, the harder it will be.

When something goes "viral" those in authority positions must really act and make decisions that reflect the integrety they feel their company embraces. If they don't they will loose and loose big in the eyes of the community. See the Acorn story this week - 2 people fired.

I do hope that Wells Fargo CEO John Stumpf does the right thing, investigates and hands down an appropriate decision which I think should be dismissal.

Seriously, they can't get caught dead yucking it up in high profile places like Vegas so might as well do it somewhere low key like one of their hidden assets!

I am so sick of the abuses in this market that some nights it is hard for me to go to sleep.

Hi Bob... Kudos to you for helping make people aware of this and for presenting it in a fair way that allows the CEO of WF to take the appropriate action. I agree that it is not his fault that this occurred, but how he chooses to address it clearly is a reflection on him. I fully believe that the appearance on impropriety is as bad as impropriety itself because of the erosion of trust it causes in society as a whole.

Bob - Love hearing your opinion on this one. I also applaud the way you're not attacking Mr. Stumpf, but rather talking to him as a concerned real estate industry professional. It's easy to get caught up in the shouting, but you handled it brilliantly! Thanks Bob.

BOB..What an outstanding article and word of advice to Wells Fargo.Lets see where it leads! I really will like to see if anything becomes of this...Thank You for sharing this

HelpfulHannah

Bob, Bob, Bob. You are tilting at the windmills again. These people in the Ivory Towers LAUGH at us behind our backs as they rake in the millions. Do not expect them to change, or worse yet CARE!!! They only think impropriety if they REALLY will get their hands slapped or would go to jail. THEN, they are sorry and change their ways. Corporate America at its finest on display here, particularly the banks.

Yep - caught red handed - or should I say partying... This really makes me wonder what/how some people think. Did this exec think nobody would know that it was her holding a soiree? Or did she really think nobody would care? Can't help but feel so bad for the couple that lost their home. What a terrible hurtful slap in the face these types of actions are.

Well...

Because of the nature of this post I'll just call you Bob :)

I'm pleased to see this topic at the forefront. And even more pleased to see someone stand up and yell....

NO!!!!!!!!!!!!!!!!!!!!!!!

And you are right. The longer they wait, the harder it will be.

TLW...ROAR!

Bob,

Pretty serious stuff. Shameless. Knowing how these banks manage to skirt responsibility it's doubtful he'll do anything of consequence. Good thing you brought it up for everyone to read.

Let's assume that Wells Fargo does "rise above the other banks slopping around in the mud.' Will social media respond with accolades to the same extent that there is outrage right now? Not a chance. Is that fair? Not at all.

Saw this on the Yahoo front page not long ago. Things just keep getting more and more interesting these days don't they?

Bob,

I'd be upset by this behavior even if I HAD been invited to one of the lavish parties! Being on the B-list just makes it worse.

Bob, if you are going to appeal to a Banker's heart... you will first need a set of ice picks. If you can get past their cold hearts maybe you will have a chance.

The power of the Internet underestimated once again. . .the Internet is the great equalizer. . they have the poser but WE have also the power to expose them!

John Novak, I believe if he reacts quick that his reaction can become just as much a part of the story as the story itself. To put a positive face on the story they must capitalize on the tide of discontent and have a better response than 'we are investigating'. Their response, if decisive could have been just as impressive as the actions were deplorable. The longer they wait, the less chance they have.

I wish I could say I was surprised, but what I think everything I've seen over the past decade has left me impervious to shock.

I am surprised and disappointed to hear about this. I completely expect this from Countrywide, or now Bank of America, but have always been impressed by Wells Fargo. Giving benefit of the doubt, maybe the upper mmt. is working on the best way to handle the situation. I'll wait to see how it's handled before throwing the Well's baby out with the bathwater.

Thanks for sharing!

There's always 2 sides to every story, have we heard the other side yet, or does everyone just want to jump on the "Weve got in for the banks" bandwagon. Personally in my area Wells Fargo have done a great job and have great employees. Every corporation/compant has some people who just are not very smart and should really just be fired. Maybe this is one such employee, but don't jump to conclusions.

Wow! How can so many "successful" people make so many bad decisions. It just won't stop?!? Great post!

This is totally outrageous. I am sick to death of these tycoons slapping the faces of Americans over and over again. You have a great point here that SOMEBODY needs to be different and have a strong aversive reaction to this nonsense!!!

It will be interesting to see how they respond. It makes me consider moving my retirement account to another place instead of Wells Fargo. We'll see based on how they respond to this craziness.

@Alan - WF has the opportunity to come out and do just as you say and Bob recommends. They can cleanse themselves of the problem employee and say, "We don't tolerate this type of behavior." Or they can ignore the problem and hope it doesn't grow. Arthur Anderson had thousands upon thousands of quality employees who worked with integrity everyday. For that matter, so did Enron and Worldcom. But, the stockholders lost faith and these formidible companies disappeared overnight. A decision needs to be made. Right now, the silence is deafening.

Arrogance to a miserable level. The details of the story are beyond outrageous. This executive should be flipping burgers after this.

oh gee, this is all over the internet. They will have to fire her, squatting in a 12 million dollar home. I think I am too stunned to think right now.

Bob

Good post. Like you, I would hope that something would be done sooner than later.

Banks; however, don't surprise me anymore. I was at one time in the executive ranks at a couple of majors. It would curl your hair and more to know what they are doing, and how they justify the means.

I would think that with all the media hype, this would be resolved quickly.

Just goes to show you ... "be sure your sins will find you out!"

Bob - Call me cynical, but we both know that Wells Fargo's response -- no matter how timely, no matter how well crafted, no matter how appropriate -- won't get one tenth of the coverage of the beach house scandal. The social media "tide of discontent" may seem strong now, but it will probably be forgotten by the time Michigan and Notre Dame kick off at The Big House.

The fact that she would expose her CHILDREN to this illegal activity says it all. She obviously has no moral compass or it is severely "disoriented".

Thanks for the LinkedIn link! I was disappointed to see she has disabled her inmail. Great Letter, I wish I would have thought to have written it!

Bob, I couldn't have said that better if i tried. Keep us posted on any response you get.

Bob, Thanks for sharing this. I've been so busy I'd have missed it. It should be interesting to see how this all plays out. I'll wait and form my opinion later. But on the surface it sucks.

I did just see that on the news!! that is isane.

Bob,

Good for you for saying something and saying what needs to be said. Hopefully Wells will use this as an opportunity to do the right thing.

I've never been impressed with Well's Fargo, hated banking with them, so i am not surprised at how low someone that works(ed) there would stoop.

Okay it looks bad throwing parties, but if Wells Fargo owns the house personal property rights apply to them too. It is common procedure for Banks not to show their REO properties prior to them being listed or at least assigned to the Realtor. Their Realtor needs to qualify prospective buyers to keep the lookie loos out. As a share holder I am more upset then as a Realtor and I'm sure higher management at Wells Fargo will be upset too.

Geez Louise! Thanks for bringing this up Bob. I'm gonna forward it to my local Wells Fargo guy to see what he thinks. Should be interesting.

Some of my clients have had it up to their navels with this particular bank...and THIS Is how they see fit to behave after torturing my buyers with every piece of minutia about every aspect of the personal lives? Yet its OK to have an executive squatting on a $12 million property and throw huge parties? Outrageous!

Thanks Bob, I believe I will also send him a letter voicing my concerns.

I wonder how the people feel who lost the house?

Social networking is the great equalizer. In the past, the public just had to take whatever these corporations would dish out - they were too big to impact - but now, we actually have a say in their success or failure. The funny part is that they don't know it yet.

So greedy companies: Keep up your arrogant ways. What goes around, will come around. You can bet on it. The days of living high on the horse with no repercussions are over!

This is despicable... Wells Fargo is trying to keep the matter "private". When hoping that these big banks will be sincere and care to help our economy regain its footing, then pulling another AIG-type bonus party! The act spits on all the hardworking people in the real estate industry trying to make things right.

Everyone that is commenting that Wells Fargo has something to do with this......I really don't think they do. I think this entire story hinges on how they choose to handle it. Don't be upset with a company that by most accounts is a solid institution. Be upset if they choose to ignore the uproar over it. Be upset if they choose to hope it goes away. Be upset if they deal with it behind closed doors.

I believe that public companies have got to deal with things of this nature on the same battlefields that the stories spread and they have to become agile enough to do it FAST!! Every minute their upper management chooses to mull over what to do, 10,000 more people (estimate.....could be more for all we know) hear this story. If they were coming out and RESPONDING, that would get just as much coverage on the news tonight. It might not get the same coverage in the Social media channels......but we don't know because THEY NEVER RESPOND with swift and decisive action in the best interest of their customers and shareholders.

That's it in a nutshell - John S needs to respond NOW and take back control.

Bob, what a very thoughtful and insightful post. I hope he does do something, and certainly quickly fires the employee who did this, and anyone else with the company who attended these parties. Wells Fargo has enough problems on their hands and an example needs to be made here as to how they will act and react in the future. Thank you!

I am at a loss for words on this one and have been so busy that I did not catch this on the news. What an absolute disgrace. There used to be a sense of status associated with working in the banking industry and it has been soiled beyond recognition. Heavy, heavy, heavy sigh. I think I need some oxygen.

Bob - right On! Good Job! can you imagine? The nerve!

A bankruptcy judge dragged an exec from a bank into court to answer the question, why did this homeonwer NOT GET A LOAN MODIFICATION.

When do we get away from the culture of banks having the attitude of SCREW everyone on the way up because they're not coming down. And if they do come down it's with a golden parachute, so if there are no morals and no repercussions who cares?

Bob,

I know this was not the action of the Wells Fargo, but banking has become a cult where bankers feel they can do as they please and if anything goes wrong the government will take care of them. It is a double standard. John Doe on the street is not treated equally with anyone in banking.

I hope Wells Fargo will do the right thing -- but I don't expect it.

I felt this was so important that I have re-blogged it.

Bob,

Be sure to post a follow up story. Hopefully, there will be a good resolution. The banking industry has just been too greedy for too long a time. Before that, it was the auto industry.

Brian

I do hope that the people involved are held responsible. What an awful thing for the prior owners. It's like a huge slap in the face for them. What a shame!

Hi Bob~ Here is to hoping that they do the right thing. Wells Fargo has a good reputation and they need to step up to the plate quickly and address it and quit burying their heads in the sand!

The big banks don't care about community or what we think about them.. They don't care about us at all

My gosh, that's a horrible story. I can't imagine the anger of the owners who were swindled, seeing the fox in the henhouse.

Bob - If you have ever read some of my posts about Big Corporate Banks you would know I can't stand them, on top of that the government also have their hands in the (cookie jar) with these huge banks, etc. and I it's really sad that we can't do anything about it.

Very interesting post!

VB ;o)

Bob - I have been so busy working three different jobs that I have been missing all the fun and gathering bonus points, how am I going to make this post happen when I keep missing your posts?

http://activerain.com/blogsview/1233322/robert-swetz-is-headed-to-the-top-at-activerain-for-the-state-of-nevada-las-vegas-clark-county

Can you send me a automated email or something?

http://activerain.com/blogsview/1233280/-attention-newbies-not-so-newbies-this-post-is-for-you-please-bookmark-

Am I at the wrong post to get those (Bonus Points) or what? It just isn't fair!

http://activerain.com/blogsview/1222212/-let-s-sell-some-real-estate-robert-swetz-vegas-bob-has-been-given-the-green-light-

VB ;o)

Hi Bob -- I sure hopes he reads it. Just when you thought you've heard it all. Beyond well written.

And, what do you think the chances are that they'll really do something about this? Maybe, if the public outcry is loud enough . . .

Read the article, thanks for the link. This is totally unbelievable - especially right now.

WHEN will the American PUBLIC stand up and say "ENOUGH!" ?? Pitchforks??? Torches??? What is it going to take to get people to pay attention and get off the six-pack and baseball/football game. Don't they know their entire (former) way of life is slowly slipping away??? How did we get to this???

Now I know why they take 6 to 8 weeks to respond to the calls on foreclosed properties they are having parties at the homes and they trashed the house not the prior owners.

You are right-- things like this can influence a lot of people on the street -- and make them not want to do business with the firm -- this has happened to other companies and it can happen to them -- hope they can deal with things and make them right.

"Let's go fire some people."

To swipe a line (slightly modified) from Wagons East (I think that was the name of the movie... with John Candy), I think that Mr. Stumpf has a job to do. And he needs to do it personally. Lots of times. Anyone that was complicit (that includes going to a party) needs to find a new place to get their check from.

Bob, I read your post and I am greatly sickened by the story. Kudos to you for taking the time to respond.

Hi Bob,

Great post!

It really makes me sick, the banks right now. If I get started about what's going on in Kansas City, especially to good builders and developers~I would never stop.

Plus I could have never have said it as good as you did!

Wake up Banks and the REGULATORS YOU SAY YOUR HIDING BEHIND!

SEP

Oh No! I was at a Wells Fargo party last night. Although it wasn't at a $12M beach home. It was at a sports bar in Chelsea. It was a kickoff party for Wells Fargo "Pick of the Pros" Chicken wings, popcorn, open bar and a lot of real estate brokers.

Bob,

The large banks have been playing games with buyers and taking terrible advantage of the credit crisis. After several transactions one such insitituion this year my respect for these banks has dropped to ZERO. I won't even take a pre-approval from any of them without backup from a smaller institution that actually FUNDS LOANS for any of my listings. They've played enough of their games with the tarp money and then with the lives, hopes and dreams of my clients. When I pointed out to some of the higher -ups that their behavior was unaccpetable - all I got back was an arrogant response that they were pretty much the ONLY game in town. The primary mantra being that they were better capitalized than anyone else. They were trying to corner the market and create a monopoly all their own using taxpayer money. I have ZERO respect for any of the big players. Wells richly deserves any and all the bad press that they get from this. It's almost a paradigm for their behavior through the financial crisis. I'm not surprised that one of their top executives behaved in this way. It reflects the moral compass of the institution - or rather the lack of same.

Do the right thing? I doubt it...they left stopped differentiating right from wrong a long way back.

Ruthmarie- You tell em girl! The nightly news and World News Tonight had a field day with this story. The Malibu Neighbors were none too happy about it and made mention of the anchored yacht and shuttle service to and from the home and yacht, during these elaborate parties. Although vacant now, this abhortant executive behavior will indeed soil the reputation of this lender and will reverberate on the Internet in perpetuity. Their investigation is worthless as Bob pointed out it has been exposed and documented by the news already- The only thing the VP should be serving up instead of excuses is Fries with that!

I am working with a buyer who is a Wells Fargo employee. She dutifully handed me the company memo that states a Wells Fargo employee cannot purchase a Wells Fargo or Wachovia short-sale or foreclosure in order to avoid any hint of impropriety. Apparently the executive in question didn't get the memo.

Bob, I'm just amazed that it would even occur to anyone at the bank to party in this house. It's sacrilegious!

If Wells Fargo chooses to keep 'investigating' this crap and hope that the story gets lost in crush of daily turmoil ... well, they will reap what they sow.

The egregious behavior and attitude of entitlement exhibited by this person is absolutely disgusting. Perhaps a stint on the unemployment line and the fear of losing her own home might help to improve her compassion for others.

Perhaps you should give this CEO a call, record your call, and then post it here for all the world to listen to. It would be interesting to see what type of verbal cha cha he would do when asked pointed questions by someone who is not linked to the mainstream media.

I hope you can see (mental image) the standing ovation you have earned from me!

Is amazing indeed ! I saw this from Matt's blog first. Shows the power of the reblog ! Will post also on Twitter and Facebook. Unreal !!

Bob -- I hope you forwarded a copy of this post directly to WF and its board. I bet some did not know about this initially. Keep us posted.

I didn't get invited either! LOL

Seriously, this is just another example of the willingness of those in a position to do so, to take personal advantage of a situation in which there is little or no oversight. Its scary, this obvious lack of any sense of "the right thing to do".

Akron, Ohio

Does anyone...ANYONE ...out there read the Bible anymore? Huh? Has anyone learned ANYTHING from past indiscretions and the abominations of idiots and morons past?...

Are people really this stupid and thoughtless?

Greedy, evil people get f&^%ed. NO exceptions.

As if the real estate world has not been through enough turmoil already! Sad that we have to find this out via Facebook!

Stewart - I heard about this early and got around to reading your post about it late. Well articulated letter. I hope the Ivory Tower Folks at Wells not only read this (which they probably already have) but do the right thing. It's one issue when your money goes extinct, it's a complete other issue when your soul follows suit.

Wells Fargo has been around a long time, rightfully so. I don't think they'll 'nip' the problem in the bud; I believe that like any stable institution, they will correct it.

And I must add after reading your comment to commenter's on this, that there is a reason I stay around this place. The ideology and actions you guys and gals emit are priceless. There's a bottom line to business that has been missing and I firmly believe you have the "I Actually Care" factor. That resonates.

I'd work for/with you any day of the week, Bob. And that's no bullshit.

Deborah...

I love this -->Social networking is the great equalizer.

That's right on the money or should I be saying it's spot on :)

TLW...ROAR!

Sometimes personal responsibility is not a part of a person's makeup and that "personal" responsibility needs to be imposed by an outside entity. This is the role of Wells Fargo management with regard to the offending VP. I say they have a corporate responsibility to impose personal responsibility in this case.

I'm not sure if I would agree if Wells Fargo had nothing to do with it, the initial act, yes, but they are involved now, and how they react is VERY important. I join you in asking John Stumpf CEO @WellsFargo to do something!! I am a Wells Fargo customer, I refer my clients to Prosperity Mortgage (WellsFargo), and I am not happy about this. I will do my part by adding the posts to my facebook and links to the stories for those who follow me on twitter, a lot of whom are past clients, and present Wells Fargo clients. hmm.. who wants to refi with a different lender? might be time.

Hi Bob, This was on the evening news last night (friday night). Showed the big home, right on ocean front, in Malibu, I believe.. The person responsible for this should be fired!; because as we well know, the original family lost this home, through no fault of their own, I believe (Bernie Madoff victims??). Hope that Wells Fargo will rectify this, with these irresponsible employees.

This article comes at a great time. I recently posted a blog on Wells Fargo. I am applying for a mortgage with them and have nothing but problems with them, so much so that the loan processor was fired for incompetence. Of course I didn't heard from them directly. Bank should be held accountable for their action. I do ho;d the CEO responsible for this. If you're CEO of a company you should know what your employes are up too, no excuses!!

Absolutely incredible. Banks walk away with bonuses, hold the consumer economy hostage because they only want to sell what's in their protfolios, and now this?You are absolutely right we need to make our collective voices heard.

Bob: Great letter. Thank you! I'm sure Wells will take care of this. It's interesting. I attended a forum yesterday where the speaker talked about ethics in business. His background was big corporate. It's amazing to me how they're the biggest offenders. By the way, i think we're due for a cup of coffee. Let me know what works for you. Take care.

While the Wells Fargo exec's actions are surely inexcusable, in the bigger scheme of things this should be our biggest collective problem when there are so many elected officials who abuse their position and the funds they control. Looking back just for this year I could rattle off at least a few governors, senators, mayors and other officials who have been found to be corrupt and are under inverstigation or indicted..... That said, I'll close my WF account in protest today - will you all do the same and write to their customer service?

Gabe Gross - Realbird.com

Hi Bob...I agree, sometimes Enough is enough and we should speak out...well done.

Lets home some heads roll at Wells Fargo or any other Mortgage Lender being arrogant with their job...there is nothing worth partying about when you take someones home.

Cheers, once again thanks for speaking out .

Just when you think you have heard it all, you haven't? Wells Fargo now owns my bank, Wachovia. Guess I'll be moving my accounts soon!

There are problems with Wells Fargo REO's going to buyers and not being placed on the market in the local MLS; this makes me wonder about a number of issues with the company. On the flip side Wells Fargo is doing some great loans right now.

Bob, Thanks for writing about this and creating the discussion/comment forum.

The behavior of the Wells Fargo person or people involved and the response of Wells Fargo senior management comes down to a question of Wells Fargo's Core Values. Not the ones written in their employee manuals or hanging in nice frames on their walls, but the Values that people in the organization demonstrate through their behavior. The Velues that define Wells Fargo are the ones they live, not the ones they publish. Any organization can experience a transgression now and then. The real test is in how senior management responds. The unfolding story will be interesting.

It looks like Wells Fargo is going to take action according to an article in the LA Times today. Public opinion has had an impact and Internet blog posts like yours probably played a role in this decision.

Wells Fargo & Co., seeking to distance itself from a company executive's alleged personal use of a $12-million beachfront Malibu home owned by the bank, said Friday that it would "take decisive action" against any employee "who may have violated Wells Fargo's policies."

It's funny how so many folks have wrote somrthing negative about the banks in this Real Estate crisis.

This article is another example.

How about focusing the attention to the millions of homeowners that walked away with thousands of dollars in cash or new toys after they refied into an adjustible loan and then walked away and sticking the bank with the home?

How about the people that blatantly lied to get a home loan or an agent to get a commission?

How about the people that lived in thier homes and never made a payment and lived rent free?

This home Wells foreclosed on is the property of the bank and I believe they can do whatever they choose without having to meet your approval or anyone elses.

Amazing how this story got under your skin so much it made you blog when you can never find a good reason to blog that will help you sell more homes.

Here's a link showing the latest response to the incident: http://www.latimes.com/business/la-fi-malibu-wells12-2009sep12,0,1526938.story

This is disgusting. Thank you for putting a spotlight on it.

When I saw this on Yahoo yesterday, I just shook my head... What next?

There are problems in general, big problems, at Wells Fargo/Wachovia. We are closing a deal right now were the processor won't return calls, and we are 2 weeks past settlement date. She just ignores calls from the closing agent and even her own client, the buyer!

I am not surprised … the same executives hold back inventory so they can collect their big bonuses.

It takes a lot to shock the average American after the plethora of plundering committed by numerous financial institutions and corporations, but this behavior is shocking in its lack of elementary ethics.

You have to question the corporate culture that allowed the executive to plan and execute such an outrageous event.

Step up and do the right thing Wells Fargo!

Steve Lunetta,

First of all partner, do me a favor.....READ THE POST before you make an ignorant comment. It does nothing but make you look like an ass. My post has nothing to do with blaming banks for our real estate crisis. My suggestion was that the CEO of Wells Fargo act with decisive and swift action so that this rogue VP doesn't give his company a bigger black eye than she already has.

"This home Wells foreclosed on is the property of the bank and I believe they can do whatever they choose without having to meet your approval or anyone elses."

You believe wrong. They are responsible to their shareholders.

I understand you didn't read my post.....and I'm pretty sure you have no idea what this story even says. It appears you just wanted to come on my blog and let us all know who you believe to be responsible for the housing crisis. While I appreciate your viewpoint....it has absolutely nothing to do with my post.

"Amazing how this story got under your skin so much it made you blog when you can never find a good reason to blog that will help you sell more homes."

(I am cracking up at this one......I don't even know where to start, let's try this....)No friend, what's amazing is that you don't know I don't sell homes, yet you come on my post and make such ridiculous accusations. I'll tell you what, if you can swallow your pride for 30 minutes I'll show you how to blog for business. All you need to do is call me. I've helped our members sell many many more homes than your (wait, I'm going to plug you) offering.

You've left three comments on ActiveRain and all of them are judgmental and without merit. Don't come into the community I take pride in assisting and maintaining and be a jerk. There is no room for that here..........and for goodness sake, at least leave a comment that deals with the stinkin subject being written about!

Great writing Bob, you should post your mind more often. This is what I love about the new media! Pretty tough to shove something under a pail! This story will definitely help in that exposure! Nice!

Sorry everyone, maybe you can tell, Steve's ignorant comment got me a little irrirated. Steve, I'm sure you are not an ass, but you sure acted like one in your comment!!

I wonder if I violated our community guidelines by saying that Steve's ignorant comment made him look like an ass.....hmmm......I may need to run this one by Jon. I need a vacation......:-)

You're okay...

I'll let it let it slide this time :)

The Guidelines only apply to you saying that about another member on this platform :)

A blank profile does not constitute a Member nowadays.

TLW...ROAR!

And...

You do need some down time. I can tell :)

TLW...ROAR!

Bob - The fact that a Wells Fargo employee took advantage of this situation does not reflect well on the company, and you are so right about how transparent this situation is as a result of the social media. It is disappointing and I am wondering who is sponsoring all the parties they have at that home.

I couldn't agree with you more Bob. They evict people quikly from their foreclosures, yet, they are using this one a a party house? Not nice at all.

Stewart - Because of your comments to Steve, you've been suspended without pay for one week. I will be collecting your pay, being the good soldier that I am. Does Jon need my address for that?

Bob - Absolutely nothing wrong with your plea. Not an attack, but a simple request for his response to this situation... Great post!

Bob, I was going to say the typical great post comment but then I read Sardi's and TLW's comments and your comment about a comment and now I would just like to add that THIS is just one reason I love AR...thanks for all that you do, including writing with passion about writing a wrong!

As usual, I miss all the fun here by being too busy looking at properties! We have a new $6M listing - come on over everyone and let's get the party started! (note to lawyers - JK of course )

This story has garnered front-page news in the LA Times—yesterday below-the-fold on page one, today splashed across the top of the Business section.

None of this surprises me at all. The experiences I have had with banks the last 2 years, especially lets me know that they do not really care about anything, even public opinion. I think it is because we see them all as a bunch of crooks at this point and I cannot imagine what it would take to change that opinion of them.

Hopefully with the LA Times and social media this will end up on Nightline by next week. Maybe by that time Mr. CEO can show action instead of investigation. It's unfortunate, but just like in real estate when a person has a bad experience with an agent they sometimes hate all agents...the same can happen here. Having a bad apple cause a PR nightmare and not chewing it up fast can make Wells and banks handling of foreclosures look bad. I agree with Bob.

You should definitely speak your mind more often! I agree that it will be important to watch to see how Wells handles this situation, and if you get any response from them.

Good post, Bob. Can't wait to see what Jon Stewart, Jay Leno, Steven Colbert and some of the other guys do with this! Wells can definitely come up some points in the eyes of many people if the CEO does take quick action. Say, I wonder if we should spend the weekend in the vacation home we just listed??

Sharon

Easy bunky... we got your back. Your comment wasn't out of line... and you were quite generous to offer to teach him how to effectively blog for business.

SEP

If I were the CEO of Wells Fargo, here is how I would handle this fiasco:

Fire Ms. Guyton IMMEDIATELY
Take out a full page ad in major newspapers, and the one that serves Malibu, CA, and issue a SINCERE apology for this mess and tell people how you're going to prevent it from happening again;
Conduct an internal review of my company to ensure that EVERYONE is on the same page and working towards helping homeowners keep their homes, not dancing on the bones of your clients;
Send out an internal email letting everyone in the company know what happened, that it was a stupid thing to do, and that if anyone else screws up in a similar fashion, they'll be gone, too;
GIVE THE FRAKKIN' HOUSE BACK TO THE PEOPLE THAT LOST IT! What a PR coup that would be! But of course, that would never happen in a billion years...

This is outrageous that a senior exec of a bank would appropriate property in this manner. Again, bankers demonstrate the cold hearted greed they have become known for. I hope the CEO of Wells Fargo is made aware of your blog post and that he does more than slap her on the wrist.

Gosh. The herd does thin itself, doesn't it. It's just a shame it has to jump over a cliff to do it.

SEP

Bob:

Looks like Wells Fargo got the message. They fired her. No more bonuses!

So, Step 1 of my plan has been accomplished...that was a given. Now, on to the hard part, Step 2: The Humungous Public Apology. Think it will happen?

SEP

Guys...

I hope you'll keep us all posted on this. I'm swapped, so if you all have time let us know what's going on with all of this.

I'm so glad they fired here. It was the RIGHT thing do :)

TLW...ROAR!

Looks like the right thing was done -I can't even imagine putting a job like that on the line for a few parties. People are sometimes just crazy - but WF did the right thing.

Good call on this one, wonder who will hire her in the future and how one would explain this away on future job interviews. Maybe she'll become and independent Real Estate Agent!

SEP

Good thing Wells Fargo fired her. There should be no room for such an unethical behavior in our industry.

SEP

Bob-

This really wound you up!

The president fired the head of GM so he needs to fire this woman NOW!!!

SEP

I actually watched a bit on this on Chelsea Lately on E! Their take on it was hilarious, but I'll let you youtube it, lol.

SEP

I can't really believe some of the things that are still happening. The craziness and greed is still running rampant.

SEP

Some post comments are saying this is NOT the doing of Wells Fargo...but how can this be said? Below is a quote straight from the New York Times. Mrs. Guyton is representing Well Fargo. If Wells Fargo doesn't take action it is them accepting this, them who put her in this role and title. Shame! I will never work with this institution nor recommend it to others.

"Residents identified the house's occupant as Cheronda Guyton, a Wells Fargo senior vice president who is responsible for foreclosed commercial properties."

SEP

I totally agree that John Stumpf should have been more on top of this and should have set policies up to prevent it from happening again.

Bob,

If you need someone to blame your "ass" comment...tell Jon the devil made you do it...

You are such a voice to us and your blog post and your comments are relevant. Thank goodness we have someone here on AR who will take the time to be voisterous for those of us who could not have posted what you did in such an eloquent manner.

As for your response to you know who...thank you for having the guts - that is, to not put up with those comments.

I give you a "10" - tell Jon. Remember what one person says - goes to 10 others...

YOU ROCK!

OCT

Bob, Bob, Bob.

Executives at the big three, Wells, BofA and Chase are all "above it all". They are "the chosen ones" and answer to no one. Having luxury lodging and party quarties at their disposal would be a "given".

Bob, Great article. First time I've heard about it. I saw it on a reblog, so it stated that the employee had been discharged in September. Thanks for the original story.

OCT

Bob, if i had not seen your article, I would not have known. Thanks for sharing this story. It's such a shame because there are lot of terrible things going on in the market right now - lots of people are being taken advantage of.

OCT

Bob - Great post ! However, I'm sure CYA is in effect here and they will say they were holding an " open house " and all will be forgiven ! It's pretty sad !

OCT

Bank reputations are "kind of soiled"? That has to be one of the greatest understatements I've read here at ActiveRain. The story made headlines in the papers and the news down here in San Diego, just 100 miles south.

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