Wells Fargo- Failure to Establish and Maintain a Supervisory System and Procedures

Wells Fargo Allegedly Disadvantaged Certain Retirement Plan and Charitable Organization Customers Whom Were Eligible to Purchase Class A Shares in Specified Mutual Funds

Wells Fargo, from at least July 1, 2009 through September 12, 2014, allegedly disadvantaged particular retirement plan and charitable organization customers that were eligible to purchase Class A shares in certain mutual funds without a front-end sales charge, according to a recent FINRA Letter of Acceptance, Waiver and Consent (AWC).

Said Eligible Customers rather were sold Class A shares with a front-end sales charge, the AWC further notes, or Class B or C shares with back-end sales charges and higher ongoing fees and expenses.

Wells Fargo Allegedly Ignored Its Responsibility to Establish and Maintain a Supervisory System and Proper Procedures Designed to Ensure Customers Receive Benefits

Wells Fargo, from at least July 1, 2009 through September 12, 2014, allegedly failed to establish and maintain a supervisory system and procedures adequately designed to ensure that Eligible Customers who bought mutual fund shares received the benefit of applicable sales charge waivers, according to the AWC.

As a consequence of the aforementioned behavior, Wells Fargo allegedly violated NASD and FINRA Rules, the AWC reports.

Wells Fargo, as a result, has been censured by FINRA, and Wells Fargo has purportedly agreed to provide restitution to the aforementioned Eligible Customers before September 30, 2015, according to the AWC.

The Peiffer Rosca Wolf Securities Lawyers Often Assist Investors

The Peiffer Rosca Wolf securities lawyers are assisting investors who lose money as a result of inadequate supervisory systems. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.

Investors who believe they lost money as a result of inadequate supervisory systems are encouraged to contact the securities lawyers at Peiffer Rosca Wolf, Alan Rosca or Joe Peiffer, for a free, no-obligation evaluation of their recovery options, at 888-998-0520.

Alan Rosca (1225 Posts)

Alan is a securities lawyer. He also teaches Securities Regulation at the Cleveland-Marshall College of Law. He focuses his legal practice on complex commercial and financial litigation and arbitration, particularly in the areas of securities and investment fraud. His office is in Cleveland, Ohio.


In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow cases about which we report, and/or to publish subsequent blogs regarding various developments that may occur in such cases. Readers are encouraged to conduct their own research regarding any such cases and any developments that may or may not have occurred in such cases.