Wells Fargo ordered to pay whistle-blower (11-26) 17:14 PST -- Federal regulators have ordered Wells Fargo & Co. to pay $75,000 in back wages and damages to a Bay Area employee who was wrongfully transferred after alerting management about potential fraud by a co-worker.
The U.S. Department of Labor's Occupational Safety and Health Administration announced the decision Wednesday, saying the San Francisco bank had violated federal laws protecting whistle-blowers.
"It is vital that employees be able to raise fraud concerns to their employers without fear of retaliation," Ken Atha, OSHA's regional administrator in San Francisco, said in a statement.
Wells Fargo responded to the decision by saying: "We don't agree with the findings and intend to appeal to an administrative law judge. Wells Fargo insists on maintaining the highest ethical standards, and we'll continue to do so."
Investigators found that Wells Fargo transferred the employee from a Cupertino branch to San Jose as punishment for alerting managers about a colleague who had recommended unsuitable investments to customers and encouraged them to purchase securities held by a separate company.
Workers who raise concerns about securities violations are protected by federal law from retaliation.
The worker, a financial consultant whose name was not released, had filed a complaint with OSHA in 2007. After investigating, the agency awarded the worker $50,000 in back wages and lost bonuses, plus $25,000 in compensation for a damaged reputation.
Additionally, Wells Fargo is required to post a notice in all California branches detailing employee whistle-blower protections.
Link to another article on this story: cbs5.com - Wells Fargo Ordered To Pay $25K To Whistleblower 
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