A former senior manager at Wells Fargo has reached a settlement with the Office of the Comptroller of the Currency (OCC), agreeing to pay a fine of $40,000 and permanently leaving the banking industry.
The OCC has issued a consent order against Norman Desembrana, accusing him of misleading customers, engaging in unsafe practices, and breaching his fiduciary duty to the bank. According to the OCC, between October 2021 and March 4th, 2022, Desembrana intentionally concealed the fact that the bank’s Philadelphia Lockbox was experiencing a significant backlog of unprocessed customer checks. He failed to disclose this issue to his employer and instructed his subordinates to create false bank reports in order to hide the extent of the backlog.
When customers complained about the delays, Desembrana allegedly provided misleading explanations to appease them and the bank’s employees.
The OCC states that Desembrana’s actions constituted a pattern of misconduct that caused significant harm to the bank and its depositors. They describe his behavior as demonstrating personal dishonesty, a disregard for the safety and stability of the bank, and a reckless disregard for the law.
Desembrana has agreed to pay a civil money penalty of $40,000 without admitting or denying the OCC’s findings. He has also agreed to the OCC’s order, which prohibits him from working in the US banking industry unless he obtains written consent from the regulator and finds a financial firm willing to hire him.
In conclusion, Norman Desembrana, a former senior manager at Wells Fargo, has been fined $40,000 and barred from the banking industry as a result of his alleged misconduct.
