'You Should Resign': Watch Sen. Elizabeth Warren Grill Wells Fargo CEO John Stumpf 
 
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 Facing off with the CEO whose massive bank appropriated customers' information to create millions of bogus accounts, Sen. Elizabeth Warren, D-Mass., had sharp questions Tuesday for Wells Fargo CEO John Stumpf. She said Stumpf made millions of dollars in the "scam," telling him, "You should resign ... and you should be criminally investigated." 
 
 As we've reported before, Wells Fargo is paying $185 million in penalties for acts that date to at least to 2011. The firm says it fired some 5,300 employees who were found to have created false accounts as it sought to increase "cross-selling" — building the number of accounts each customer holds. 
 
 The exchanges between Warren and Stumpf were among the sharpest, but other senators also pressed the executive about what have become hot topics as public outrage has grown over the case. Here's some of what panel Chairman Sen. Richard Shelby, R-Ala., and others wanted to know: 
 
 Whether Stumpf regards the case as one of fraud 
 
 Whether the bank will "claw back" any of the millions it has paid to former executive Carrie Tolstedt, who is retiring with nearly $125 million 
 
 How the bank will help customers whose credit ratings have been hurt by the fake accounts 
 
 Responding to those questions, Stumpf said he lacked the appropriate expertise, declaring himself at various times not to be a lawyer, a compensation expert or a credit consultant. 
 
 Warren began her questioning by citing Wells Fargo's Vision and Values Statement, particularly its suggestion, "If you want to find out how strong a company's ethics are, don't listen to what its people say, watch what they do." 
 
 "So, let's do that," Warren said. She then accused Stumpf of failing to hold himself or any other senior executives accountable for the company's actions. "It's gutless leadership," she said, noting that Stumpf is not resigning, returning any of his earnings or firing any senior executives. 
 
 Warren moved on to the subject of cross-selling — calling it a particular focus of Stumpf's tenure as CEO, citing his goal of eight accounts per customer and saying that cross-selling was "one of the main reasons that Wells has become the most valuable bank in the world." 
 
 The senator asked Stumpf, "Cross-selling is all about pumping up Wells' stock price, isn't it?" 
 
 "No," the executive answered. "Cross-selling is shorthand for deepening relationships," he continued — before Warren cut him off. 
 
 She then produced 12 transcripts of Wells Fargo earnings calls Stumpf participated in from 2012 to 2014 — "the three full years in which we know this scam was going on," Warren said. 
 
 "In all 12 of these calls, you personally cited Wells Fargo's success at cross-selling retail accounts as one of the main reasons to buy more stock in the company," Warren told Stumpf. She went on to quote him from the transcripts, as he touted the company's record growth to more than six accounts per household. 
 
 When Warren asked Stumpf — who made $19.3 million in annual compensation (including a performance bonus of $12.5 million) in 2015, how much his stock holdings at Wells Fargo had gained during the period in question, the executive said that the information was all in the public record. 
 
 Warren then produced the information herself, saying that Stumpf held an average of 6.75 million shares in the company in that time frame — and that the share price had risen by about $30, "which comes out to more than $200 million in gains, all for you personally, and thanks in part to those cross-sell numbers that you talked about on every one of those calls." 
 
 Here's what Warren said toward the end of her allotted time to question Stumpf: 
 
 "Here's what really gets me about this, Mr. Stumpf. If one of your tellers took a handful of $20 bills out of the crash drawer, they'd probably be looking at criminal charges for theft. They could end up in prison. "But you squeezed your employees to the breaking point so they would cheat customers and you could drive up the value of your stock and put hundreds of millions of dollars in your own pocket. "And when it all blew up, you kept your job, you kept your multi-multimillion-dollar bonuses, and you went on television to blame thousands of $12-an-hour employees who were just trying to meet cross-sell quotas that made you rich. "This is about accountability. You should resign. You should give back the money that you took while this scam was going on, and you should be criminally investigated by both the Department of Justice and the Securities and Exchange Commission. This just isn't right." 
 
 Stumpf testified with a conspicuously bandaged right hand — it was particularly noticeable when he raised it to be sworn in Tuesday morning. A bank representative says he injured himself playing with his grandchildren. 
 
 During his allotted time to question Stumpf, Sen. Patrick Toomey, R-Pa., voiced skepticism at the idea that the 5,300 Wells Fargo employees who were fired had all acted independently. 
 
 "You state unequivocally that there are no orchestrated effort or scheme, as some have called it, by the company," Toomey told Stumpf. "But when thousands of people conduct the same kind of fraudulent activity, it's a stretch to believe that every one of them independently conjured up this idea of how they would commit this fraud." ||||| Sen. Elizabeth Warren on Tuesday called for a criminal investigation into Wells Fargo executives over the cross-selling scandal that has engulfed the bank and told CEO John Stumpf he should resign. 
 
 As her colleagues grilled Stumpf, Warren lit into the head of the nation's second-largest bank, saying reform won't come to the industry until executives are sent to jail. 
 
 "This is about accountability," she said. "You should resign, you should give back the money you took while this scam was going on and you should be criminally investigated by both the Department of Justice and the Securities and Exchange Commission." 
 
 "The only way that Wall Street will change is if executives face jail time when they preside over massive frauds," she added. "Until then it will be business as usual, and at giant banks like Wells Fargo, that seems to mean cheating as many customers, investors and employees as they possibly can." 
 
 As Warren accused Stumpf of "gutless leadership," Wells Fargo's stock price dipped. By midday. it was at $46.20 a share, up 0.43 percent. 
 
 
 
 
 
 Warren's comments came amid testy questioning of Stumpf, who presided over what authorities have labeled as illegal cross-selling to millions of customers who often were enrolled into programs without their knowledge. 
 
 She ripped into the culture that created the scandal. 
 
 "If one of your tellers took a handful of 20-dollar bills out of the cash drawer, they'd probably be looking at criminal charges for theft," she said. "They could end up in prison, but you squeezed your employees to the breaking point so they could cheat customers and you could drive up the value of hyour stock and put hundreds of millions of dollars in your pocket." 
 
 "It wasn't a scam, and cross-selling is a way of deepening relationships," Stumpf said. 
 
 Warren, who earned her reputation on Capitol Hill as a crusader for Americans against the financial services industry, is one of the scant few on the Senate banking committee who has not been cut a check by Wells Fargo's political action committee. 
 
 
 
 —Jon Marino contributed to this report. ||||| Wells Fargo CEO John Stumpf will forfeit much of his 2016 salary -- including his bonus and $41 million in stock awards -- as the bank launches a probe into its phony accounts scandal. 
 
 The fallout from the controversy has also resulted in its first major executive departure. Carrie Tolstedt, who headed the division that created the fake accounts, has left the company ahead of her scheduled retirement at year end. 
 
 Wells Fargo, under pressure from lawmakers and shareholders to take action, said Tolstedt will not receive a bonus or severance, and that she'll forfeit all of her $19 million worth of unvested stock awards. Wells Fargo also said Tolstedt has agreed not to exercise some $34 million in stock options, the bank's independent directors announced Tuesday. 
 
 However, Tolstedt could still be walking away with a fortune despite running the retail bank during the entire time the unauthorized accounts were opened. 
 
 Tolstedt owns roughly $43.3 million in stock outright that she accumulated during her career with the bank, according to a letter Wells Fargo sent to Senator Elizabeth Warren. That means if she is allowed to keep her stock options, Tolstedt could leave Wells Fargo with stocks and options valued today at roughly $77 million. 
 
 Related: Wells Fargo fake accounts head could still walk with $77 million 
 
 Wells Fargo's board of directors also said Tuesday that it's launching an independent investigation into the company's sales practice. The new probe comes as employees told CNNMoney that the practice of opening fake accounts began years earlier than Wells Fargo has previously acknowledged. 
 
 During the company's investigation, Stumpf will work for free. 
 
 Stephen Sanger, the board's lead independent director, said the executives could face further penalties, depending on the results of the investigation. 
 
 He said in a statement that the board may claw back additional compensation or take "other employment-related actions." It's not clear if that could include forcing out Stumpf, who Warren and others have demanded should resign. 
 
 If they're cleared of wrongdoing, both Stumpf and Tolstedt may end up taking home some of their hefty pay packages. 
 
 The decision to "claw back" Stumpf's and Tolstedt's compensation comes just before Thursday's big Wells Farg (WFC)hearing in front of the House Financial Services Committee and amid a string of embarrassing headlines about the opening of unauthorized accounts. 
 
 Wells Fargo paid Stumpf $19.3 million in total compensation for 2015, in part as a reward for the bank's growing number of accounts. Millions of those accounts, as it's been since revealed, were fake. An intense focus from top management on adding new accounts, former employees say, led to a pressure-cooker atmosphere at Wells Fargo. 
 
 Related: Fired Wells Fargo workers fight back with lawsuit 
 
 Last year, Stumpf was awarded with $4 million for various factors that included growing "primary consumer, small business and banking checking customers." Wells Fargo also rewarded Stumpf last year for his success in "reinforcing a culture of risk management and accountability across the company." 
 
 That bonus led Jeffrey Sonnenfeld, an authority on corporate governance at Yale University, to say that "without a doubt" some of Stumpf's pay should be clawed back. "He should be docked," Sonnenfeld said. 
 
 A CNNMoney analysis, conducted prior to the clawbacks, showed that if he were to leave, Stumpf could leave Wells Fargo with about $200 million of cash, Wells Fargo stock and options. 
 
 Last week, Warren slammed Stumpf for "gutless" leadership, in part for his refusal to cut compensation for Tolstedt, who led Wells Fargo's community banking division during the entire time fake accounts were created. 
 
 Warren also came down heavy on Stumpf on his own pay: When it all blew up, you kept your job, you kept your multimillion dollar bonuses, and you went on television to blame thousands of $12-an-hour employees who were just trying to meet cross-sell quotas that made you rich."
– Sen. Elizabeth Warren went after Wells Fargo CEO John Stumpf during a Senate hearing Tuesday with the kind of heat she usually reserves for Donald Trump tweetstorms. "You should resign ... and you should be criminally investigated," NPR quotes Warren as saying. Stumpf was in front of the Senate banking committee after Wells Fargo employees created millions of fake accounts for customers without their permission in order to charge them extra fees. Stumpf said he was "deeply sorry" for what happened, New Republic reports. But—according to CNBC—he maintained it wasn't a "scam"—Warren's word—but a "way of deepening relationships" with customers. Warren accused Stumpf of "gutless leadership" for passing responsibility for what happened away from himself and other senior executives while blaming "thousands of $12-an-hour employees who were just trying to meet cross-sell quotas that made you rich." The employees' cross-selling scheme was at least partially responsible for Wells Fargo stock going up, making Stumpf's shares alone gain $200 million in value. While more than 5,000 Wells Fargo employees were fired, none of the senior executives are losing their jobs. Warren said the only way Wall Street will be reformed is if CEOs like Stumpf start seeing jail time. She's one of only a few members of the Senate banking committee that hasn't gotten money from Wells Fargo's PAC.