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Democrats are praising former Federal Reserve Board Chair Janet Yellen’s actions against Wells Fargo & Co. and questioning whether the Fed will continue to be as tough now that she has left the central bank.
The Fed’s cease-and-desist order released Friday evening, on Yellen’s final day as chairwoman, restricts the nation’s third-largest bank to the $1.95 trillion in total consolidated assets it had at the end of 2017, a move the company estimates will cut its earnings this year by between $300 million and $400 million. The company had a net income of $22.2 billion in 2017.