Wells Fargo Head of Consumer Lending fired after the person he fired for mortgage fraud turns around and tattle tales on him for saying that misconduct in the bank, is not a concern, and that the regulators were picky for doing their job and calling them out for fraud.
A Wells Fargo banker who was let go for his role in a mortgage-pricing scam turned around and ratted out his superior for trashing regulators during his exit interview.
The dismissed banker, Greg Gwizdz, told Wells Fargo that Franklin Codel, the bank’s head of consumer lending, made disparaging remarks about banking regulators, sources said.
Codel blamed regulators for squeezing Gwizdz’s golden parachute.
Wells passed along Gwizdz’s information to regulators — and on Friday the bank said it had fired Codel because of “improper communications.
“The company said the dismissal was the result of Codel’s acting in a manner that was contrary to the company’s policies and expectations of its senior leaders during a communication he had with a former team member regarding that team member’s earlier termination,” Wells Fargo said in a statement.
While Gwizdz, a 26-year veteran of the bank, had no problem with tattling on his former superior, the dismissed banker was no Boy Scout.
Gwizdz was let go in June, along with at least two other bankers, who were connected to a scam where the bank would push mortgage customers to accept fees, or higher rates, by improperly delaying the loan process.
The scandal has led to regulatory investigations and class-action lawsuits against the bank.
Tom Goyda, a Wells Fargo spokesman, confirmed that the “rate lock extension did play a role” in Gwizdz’ ouster.
Gwizdz and Codel could not be reached for comment.
While it’s unclear exactly what Codel told Gwizdz or when, it reportedly had to do with regulators scrutinizing executives’ severance, and other kinds of compensation, after they were let go.
Golden parachutes have become controversial, and some banks have moved to claw back cash payments made to sullied bankers on their departures.
Gwizdz’s comments appear to have given him his chance for revenge.
“As a result of his dismissal, Franklin Codel will not receive his unvested equity awards per the terms of the grants,” Goyda told The Post.
The firing is the latest public embarrassment for Wells, which has faced more than a year of revelations about its sales practices.
Last year, the bank settled with government regulators over millions of phony accounts and credit cards — a scandal that led directly to the resignation of Chief Executive John Stumpf.
Regulators are also investigating claims that the bank pushed its auto customers to buy insurance they didn’t need, and improperly forced people to pay more for home loans through phony delays.
Tim Sloan, the bank’s current CEO, has apologized for the company’s actions.
“Difficult as this situation is, the decision reflects our commitment to our values and culture and to executive accountability,” Sloan said in a statement.