Tim Sloan, president and CEO of Wells Fargo & Co., will retire June 30, the bank announced. General Counsel Allen Parker will serve as interim chief executive while the search for a new leader is conducted.
“I have been very fortunate to work for such a great company, and with so many dedicated team members, for more than 31 years, and I am very proud of what we have accomplished together,” Sloan said. “In my time as CEO, I have focused on leading a process to address past issues and to rebuild trust for the future. We have made progress in many areas and, while there remains more work to be done, I am confident in our leadership team and optimistic about the future of Wells Fargo.
“However, it has become apparent to me that our ability to successfully move Wells Fargo forward from here will benefit from a new CEO and fresh perspectives,” he added. “For this reason, I have decided it is best for the company that I step aside and devote my efforts to supporting an effective transition.”
Officials went to great lengths to emphasize the bank’s next leader will not be a Wells Fargo insider. Board Chair Betsy Duke thanked Sloan for his “pride and dedication” but appeared eager to move on from an administration rocked by scandal.
In April 2018, executives agreed to a $1 billion settlement brokered by the U.S. Consumer Financial Protection Bureau and Office of the Comptroller of the Currency on behalf of 570,000 car buyers and 100,000 home buyers who were erroneously charged for collateral protection insurance and interest rate-lock extensions, respectively.
“Although we have many talented executives within the company, the board has concluded that seeking someone from the outside is the most effective way to complete the transformation at Wells Fargo,” Duke said in a statement.
This story originally appeared on F&I and Showroom, another Bobit Business Media publication.