Wells Fargo CEO John Stumpf has stepped down as the Federal Reserve Bank of San Francisco’s representative on the Federal Advisory Council effective Thursday, the San Francisco Fed announced.
Stumpf, 63, has been under fire since the bank agreed to pay $185 million in fines this month to settle allegations that some of the bank’s employees opened unauthorized customer accounts to meet aggressive sales goals. He faced intense questioning Tuesday before the Senate Banking Committee.
“John made a personal decision to resign as the Twelfth District’s representative to the Federal Advisory Council,” Wells spokesman Mark Folk said. “His top priority is leading Wells Fargo.”
The council consists of one member generally from the banking industry from each of the 12 Fed districts. The panel typically meets four times a year with the Board of Governors to discuss economic and banking matters.
The council members are appointed for one-year terms. The San Francisco Fed said a search process for a successor will begin soon.