Warren Buffett breaks silence on Wells Fargo

Buffett Says Stumpf ‘Made a Hell of a Mistake’ at Wells Fargo

Excerpt:

Stumpf is a “very decent man” who “made a hell of a mistake,” the billionaire said in an interview posted on CNN’s website Friday. “And he didn’t correct it. That’s the thing.”

Buffett’s comments were his most extensive public remarks on the bank since it agreed in September to pay $185 million to settle allegations that employees set up credit-card and deposit accounts without customers’ permission. Staff have said they were encouraged by cross-selling targets to open as many accounts as possible. “It was a dumb incentive system,” said Buffett, whose Berkshire Hathaway Inc. is the largest investor in Wells Fargo. “When they found out it was dumb, they didn’t do anything about it.”

Comment: Agreed. Image source is CNN Money