indica News Bureau
San Francisco, Calif. – Former Wells Fargo banker Raminder Singh Rekhi faces up to 30 years in prison and a $1 million fine after pleading guilty to theft, embezzlement, or misapplication of bank funds in connection with a scheme to illegally make loans, according to the U.S. Attorney’s Office for the Northern District of California.
A longtime Wells Fargo employee, Rekhi, 41, of San Francisco, admitted in court on Nov. 13 to the charge in front of Senior U.S. District Judge Charles R. Breyer, who ordered Rekhi released pending a sentencing hearing scheduled for March 18.
As part of a plea deal Rekhi admitted that in 2017 he used his bank position to persuade a customer to buy what he told her was a certificate of deposit (CD), which actually did not exist. Rather, Rekhi said in court he diverted the customer’s money into other accounts he controlled. Once he had control of the money, Rekhi used the funds as to make loans to three individuals. By
so doing, Rekhi misappropriated the deposits entrusted to the care of Wells Fargo and, because the subsequent loans were not insured by the Federal Deposit Insurance Corporation, placed the deposits at risk, according to a news media release from the U.S. Attorney’s Office.
Rekhi faces a maximum sentence of 30 years in prison, 5 years supervised release, and a fine of $1 million, plus restitution and special assessments, according to the release.
On April 18, 2019, a federal grand jury indicted Rekhi on charging him with one count of theft, embezzlement, or misapplication of bank funds, in violation of 18 U.S.C. § 656, according to the announcement earlier this week from Adam A. Reeves, of the U.S. Attorney’s Office, and FBI Special Agent in Charge John F. Bennett. Rekhi pleaded guilty to the charge.
Assistant U.S. Attorney Nicholas Walsh is prosecuting the case with the assistance of Rosario Calderon and Margoth Turcios, after an investigation by the FBI and Wells Fargo’s internal investigation team, according to the release..
