One who intends to leave others better off for his having existed.

9/10/14

Wells Fargo CEO John Stumpf and Chairman Richard Kovacevich Securities Fraud and Insider Trading

On January 17, 2008, unknown to shareholders but known to Wells Fargo CEO John Stumpf and Chairman Richard Kovacevich, Wells Fargo borrowed $1.666 billion from the Federal Reserve Bank's Term Auction Faciltiy at 3.95% interest, with $47.930 billion in Unencumbered Collateral representing an undisclosed credit line with the Fed, none of which was disclosed by Wells Fargo's 2008 annual report.

On May 22 2008, unknown to shareholders but known to Wells Fargo CEO John Stumpf and Chairman Richard Kovacevich, Wells Fargo borrowed $7.5 billion from the Federal Reserve Bank's Term Auction Faciltiy at 2.1% interest, with $47.197 billion in Unencumbered Collateral representing an undisclosed credit line with the Fed, none of which was disclosed by Wells Fargo's 2008 annual report..
           
http://www.federalreserve.gov/newsevents/reform_taf.htm
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WFC's annual report cites the words "Term Auction" 0 times, and "TAF" 0 times, with no mention of the overall size of WFC's Federal Reserve Term Auction Facility credit lines, interest rates and maturities, all of which were material inside information known to Wells Fargo CEO John Stumpf and Chairman Richard Kovacevich but not WFC shareholders, Congress, or the public.

https://www08.wellsfargomedia.com/downloads/pdf/invest_relations/wf2008annualreport.pdf
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On 2008-05-15, while WFC was in possession of undisclosed Federal Reserve provided Term Auction Facility loans, Stumpf John G. purchased 1,550 of Wells Fargo stock valued at $44,841  without being arrested for Insider Trading and Securities Fraud.

On 2008-06-06, while WFC was in possession of undisclosed Federal Reserve provided Term Auction Facility loans, Kovacevich Richard M. purchased 40,398 of Wells Fargo stock valued at $1,052,367 without being arrested for Insider Trading and Securities Fraud.

http://www.insider-monitor.com/trading/cik72971-3.html   
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Sarbanes Oxley (SOX) states;

    "SEC.302. CORPORATE RESPONSIBILITY FOR FINANCIAL REPORTS.

    (a) REGULATIONS REQUIRED ...the principal executive officer or officers and the principal financial officer or officers, or persons performing similar functions, certify in each annual or quarterly report filed or submitted under either such section of such Act that--

    (2) based on the officer's knowledge, the report does not contain any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements made, in light of the circumstances under which such statements were made, not misleading..."
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An SEC interpretation states: "Many financial institutions, such as thrifts and banks, are receiving financial assistance in connection with federally assisted acquisitions or restructurings...  If these or any other types of federal financial assistance have materially affected, or are reasonably likely to have a material future effect upon, financial condition or results of operations, the [Management Discussion and Analysis] should provide disclosure of the nature, amounts, and effects of such assistance..."

http://www.sec.gov/rules/interp/33-6835.htm
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I believe CEO John Stumpf and Chairman Richard Kovacevich are guilty of Securities Fraud and Insider Trading, with the consent of the Federal Reserve, the SEC etc... and the Justice Department.
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From 2006 through 2008, SEC Chair Mary Jo White's husband John served as Director of the Division of Corporation Finance at the U.S. Securities and Exchange Commission, which oversees disclosure and reporting by public companies in the United States.was head of the SEC division which oversees disclosure and reporting by public companies. Mr. White played an integral role in the SEC’s response to market turmoil throughout 2008, ensuring that the Division acted swiftly and appropriately to facilitate strategic transactions and access to capital for public companies.
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Bloomberg's Bob Ivry, Bradley Keoun, Phil Kuntz, Alison Fitzgerald, Fabio Benedetti-Valentini, Noah Bhahayar, Dakin Campbell, Christopher Condon, Gavin Finch, Andrew Frye, Donal Griffin, Christine Harper, Takashiko Hyuga, Aaron Kirchfeld, Dawn Kopecki, Rachel Layne, Elena Logutenkova, John Martens, Michael J. Moore, Howard Mustoe, Hugh Son, James Sterngold, Robert Friedman, John Voskuhl and Otis Bilodeau didn't bother to follow up on the story revealing the Insider Trading and Securities Fraud, to the benefit of Bloomberg companies.

http://www.bloomberg.com/news/2011-11-28/secret-fed-loans-undisclosed-to-congress-gave-banks-13-billion-in-income.html
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Previously;

BB&T CEO Kelly King and CFO Daryl Bible Securities Fraud

http://hartzman.blogspot.com/2014/09/bb-ceo-kelly-king-and-cfo-daryl-bible.html

JPM CEO Jamie Dimon Securities Fraud and Insider Trading

http://hartzman.blogspot.com/2014/09/happy-labor-day-jpm-ceo-jamie-dimon.html


Citibank CEO Vikram Pandit Securities Fraud and Insider Trading 


http://hartzman.blogspot.com/2014/09/citibank-ceo-vikram-pandit-securities.html

For the 400,000 plus Wells Fargo clients being lied to on their "Envision" retirement plans 

http://hartzman.blogspot.com/2013/01/envision.html

Bank of America Insider Trading and Securities Fraud

http://hartzman.blogspot.com/2014/09/bank-of-america-insider-trading-and.html

Securities Fraud and Perjury via the Wells Fargo Wachovia Merger

http://hartzman.blogspot.com/2014/09/securities-fraud-and-perjury-via-wells.html

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