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Wells Fargo ends 6-month CEO search with an outsider hire

Wells Fargo said on Friday its new chief executive will be Bank of New York Mellon CEO Charles Scharf, effective Oct. 21.

Why it matters: It ends the bank's 6-month stretch without a permanent CEO. Several news outlets reported that the company had a difficult time finding someone who wanted the job, as it tries to recover from a slew of scandals and intense scrutiny from regulators.

Details:

  • Allen Parker, who's been serving as Wells Fargo's interim CEO, will return to his previous role as the bank's top lawyer when Scharf takes the helm.
  • The company was under pressure to name an outsider to the post, after other scandals surfaced while Wells Fargo veteran Tim Sloan was in the top job.
  • BNY Mellon said its interim CEO would be CFO Thomas Gibbons as it searches for Scharf's replacement.
  • Scharf's appointment does nothing to change the fact that the top spots of all the nation's biggest banks remain occupied by white men.