Assistant Professor of Economics, Venoo Kakar discusses California's state treasurer's announcement about suspending major parts of the state's business relationship with Wells Fargo because of a scandal involving unauthorized customer accounts. "The sanctions are very strict and very tough. The state's message will resonate with all the big banks, especially if the monetary fines seem weak. There's a $185 mn fine imposed on Wells Fargo which is only less than 1% of their profits, so it really comes down to these sanctions," Kakar said.
Watch the full video and read the article on NBC Bay Area news here: California State Treasurer Sanctions Wells Fargo, Suspends Business Relationships.