On May 21, 2026, U.S. District Judge Trina Thompson granted Lead Plaintiff SEB Funds AB’s motion for final approval of an $85 million settlement in this securities fraud class action. The case arose out of Wells Fargo’s alleged misrepresentations and omissions regarding its diversity hiring initiative, the Diverse Search Requirement. SEB, along with additional plaintiff West Palm Beach Firefighters’ Pension Fund, alleged that Wells Fargo was conducting “fake” interviews of diverse candidates to allow the Company to claim compliance with the Diverse Search Requirement.
After overcoming Defendants’ motion to dismiss, Plaintiffs successfully moved for class certification, completed fact and expert discovery, and completed briefing on dispositive motions. With a trial in early 2026 fast approaching and on the eve of the parties’ summary judgment oral argument, a settlement was reached for $85 million in cash.
The Kessler Topaz team representing Lead Plaintiff SEB and the investor class includes Sharan Nirmul, Stacey Kaplan, Darren Check, Joshua D’Ancona, Josh Materese, Evan Hoey, Marianne Uy, and Bennett Cho-Smith.