Chapter 762 Five: Three's Vote

?Besides the personal deposit business, Wells Fargo rarely offers mortgage loans below credit score, insolvency, low credibility or even no proof, nor does it provide selective adjustable interest rate loans, and it also stays away from highly leveraged financial derivatives Business, and sold a large number of mortgages in its hands in the first two years of the crisis. Therefore, when the financial crisis forced many banks to write down their assets, Wells Fargo did not have any worries about survival.

On the contrary, relying on its own increasingly strong financial cash flow, Wells Fargo launched the acquisition of Wachovia Bank. Established institutional layout and business coverage across the United States.

What is particularly noteworthy is that, in addition to continuing to make profits during the financial crisis, Wells Fargo has never suffered a loss in its 160-plus years of wandering, and it has made a net profit of as much as 20 billion US dollars last year alone.

Such scarce "top students" naturally won applause from the market. Even the old stock gods couldn't resist the temptation of such delicious cakes, and bet heavily on Wells Fargo Bank, and they continued to raise bets. So far, Berkshire Hathaway, the old stock god, has held more than 9% of Wells Fargo's shares and is Wells Fargo's largest shareholder.

The tempering of the financial crisis, the support of old stock gods and the pursuit of investors have prompted the stock price of Wells Fargo to plunder and rise strongly in the next 8 years, and became the world's largest market value for the first time two years ago. Bank of.

Although it exchanged the position of the king with Z Universe Bank 4 times afterwards, the Universe Bank has been weak recently, and Wells Fargo Bank officially replaced the other party, becoming the veritable "No. 1 Bank in the Universe".

But it is such a bank that is famous all over the world and has maintained a strong earning capacity from beginning to end. There has been a ridiculous fraud case. Wells Fargo, which has been at the highest peak for a long time, also cannot escape the vulgar routine of being carried away by the stars and even lost.

Without informing customers and without customer authorization, Wells Fargo Bank opened more than 2 million accounts without permission, including 1.5 million deposit accounts and more than 500,000 credit cards. On this basis, funds on customer cards were transferred. To the new account opened privately with this customer information.

Due to the transfer of funds in the existing account, the customer will pay bank management fees, credit card overdraft fees, and late fees due to insufficient account balance.

This action resulted in losses of more than 2 million US dollars for relevant customers, and this kind of fraud did not happen to a single person, but under the leadership of senior management, nearly a thousand employees participated in the crime, and tens of thousands more Employees hear about and participate indirectly,

The final outcome is naturally that the CEO is pushed out as a scapegoat. He not only has to refund the full amount of late fees that entrapped customers, but also has to pay a total of 200 million US dollars in fines to institutions at all levels. It's just a drop in the bucket for the bank, it doesn't even feel pain, it's just a tickle at best.

However, for Wells Fargo, it is important to fire the CEO and make compensation in real money, but it is really hard to say how much trust can be restored. After all, banks rely on reputation. When a bank loses Credit, it is difficult for depositors to forgive, let alone continue to put their property in the hands of a bank that has lost its reputation.

As for the old stock god who made a big bet, although he also missed some times in his magnificent investment career, this time is probably the most serious one. The stock gods tried to save it many times, but still failed to reverse the decline, not to mention the loss of billions of dollars.

It also made the people criticize him so much that he almost blocked the door of the house and threw rotten eggs.

Who made him stand out, and he is the largest shareholder of Wells Fargo Bank. If such a big incident happened, if he said that he was not responsible, it would be more than just being spit on.

Like the old stock god, there are countless American small businesses, to be precise, most of the small businesses in the country, because 99.7% of the companies in the United States are small businesses, and small businesses constitute the cornerstone of the US economy.

However, these cornerstones will be under great threat because of the fraud case of Wells Fargo Bank, as the largest independent participant in the small business loan guarantee program in the United States, this program is designed to allow many small and medium-sized enterprises to obtain funds to start and grow their businesses. However, after the fraud scandal was exposed, the deposits of depositors escaped, and the storage capacity of Wells Fargo Bank dropped significantly, which also affected the normal loan demand of small enterprises to a certain extent. Without the help of loans, small enterprises that continue to replenish their funds are very likely to Bankrupt because of it.

Of course, these have little impact on a large group like New Times Media. The main reason is that New Times Group has no demand for loans for the time being. Even if it did, Yang Cheng would not choose Wells Fargo.

But now, considering that Wells Fargo's counterfeiting case is about to break out next year, Yang Cheng will not introduce it to the group's shareholder list. You must know that if there is no mistake in the plan, next year will be New Era Media's IPO preparation stage. At the critical moment, even when Wells Fargo was implicated when the bell was just ringing for listing, Yang Cheng really couldn't cry.

Thinking of this, Yang Cheng decisively terminated the shareholders' discussion, and immediately suggested, "It's not an option to make such a noise. Let's vote with a show of hands. Of course, only the current shareholders have voting rights."

No one had any objections, and they were so dry from arguing that they just stopped to drink.

David Ellison was the first to raise his hand, "I object~"

Bill Ackerman dare not neglect, "I support~"

Yang Cheng nodded and became the referee, "It's 1:1 now."

Afterwards, the joint representatives including Jack Ma, Georgina, and minority shareholders raised their hands to express their opinions. To Yang Cheng's surprise, he was not required to make a move in the end, and the situation became very clear. "5:3 vote against More than half, I don’t need to vote. The resolution is passed. Wells Fargo will not be able to become the director shareholder of New Era Media. It’s a pity, but if there is any surplus after the share is determined later, Wells Fargo can become a pure investor. The media will bring satisfactory returns to every investor."

Following his words, the matter has been decided, and the representative of Wells Fargo Bank, who originally expected Yang Cheng to stand up and turn the tide, could only sit back with a livid face. Although he really wanted to walk away, his reason told him that it would be better to wait until the end .