Tags: Trump Administration | Donald Trump | elaine chao | wells fargo | scam | donald trump | transportation department

Report: Elaine Chao Made $1.2M on Wells Fargo Board Amid Scandal

Report: Elaine Chao Made $1.2M on Wells Fargo Board Amid Scandal

Former Labor Secretary Elaine Chao (AP Photo/Carolyn Kaster)

By    |   Wednesday, 07 December 2016 04:27 PM

President-elect Donald Trump's choice of Elaine Chao to lead the Transportation Department made $1.2 million as a director of Wells Fargo & Co. during the period the company admitted to creating millions of fake customer accounts.

Chao, 63, whose nomination must be confirmed by the Senate, made $1.2 million in total compensation, including stock awards, between 2011 and 2015, CNN reports.

She has been on the bank's board since July 2011. Her responsibilities included monitoring Well Fargo's activities and overseeing management.

Chao told Wells Fargo officials Monday that she would step down from the board "if and when" she is confirmed by the Senate.

Wells Fargo said her decision was not tied to "any disagreement" with the company or anything related to its "operations, policies or practices."

Steve Sanger, Wells Fargo's chairman, told CNN that Chao has "provided sound guidance and oversight" and has been "deeply involved in the board's efforts to address and remedy retail sales-practice issues."

Chao did not respond to requests for comment, according to the report.

Wells Fargo, the nation's No. 3 bank by assets, has been under heavy fire for creating 2 million bogus deposit and credit-card accounts without customers' consent.

The scam had been going on since 2011.

The bank has agreed to pay $185 million in penalties and $5 million to customers — and CEO John Stumpf stepped down amid the furor. Other federal investigations are continuing.

Wells Fargo is trying to resolve lawsuits from the debacle in private arbitration proceedings instead of in court, according to legal documents.

Chao, who served as President George W. Bush's labor secretary and is the wife of Senate Majority Leader Mitch McConnell, serves on three other corporate boards: Rupert Murdoch's News Corp., Ingersoll-Rand Co., and Vulcan Materials.

Chao made a total of $784,000 from those directorships, according to a CNN analysis of company filings.

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President-elect Donald Trump's choice of Elaine Chao to lead the Transportation Department made $1.2 million as a director of Wells Fargo & Co. during the period the company admitted to creating millions of fake customer accounts.
elaine chao, wells fargo, scam, donald trump, transportation department
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2016-27-07
Wednesday, 07 December 2016 04:27 PM
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