Wells Fargo to Pay West Virginia $8M as Part of Settlement
Wells Fargo will pay $8 million to West Virginia as part of a settlement of a decade-long dispute involving marketing practices.
Attorney General Patrick Morrisey announced Monday that Wells Fargo will pay the money to the Office of the Attorney General on the state's behalf.
The Charleston Gazette-Mail reports that the lawsuit was filed in 2005 by former Attorney General Darrell McGraw's office. It accused Acordia of West Virginia and its parent company, Acordia Inc., of improperly pocketing millions of dollars in secret commissions from insurers. It also alleged that the practices amounted to violations of the state's Antitrust Act and its Consumer Credit and Protection Act.
The newspaper reports that Wells Fargo acquired Acordia in 2001.
Wells Fargo has denied any wrongdoing. The settlement was reached before the court made a ruling on the case.