The banking group, which has been hit by a scandal concerning creation of illegal bank accounts by employees, has announced a new management line-up.

Wells Fargo, which has been embroiled in a scandal in which employees created illegal accounts to achieve sales targets, has restructured some of its senior management roles and appointed new heads of its operating committee. Part of the changes included setting up a new payments, virtual solutions and innovation group.

The operating committee is led by John Stumpf, chairman and chief executive officer. Effective November 1, the following leaders will assume new or expanded roles, will serve on Wells Fargo’s operating committee, and will report to Tim Sloan, president and chief operating officer, it said in a statement earlier this week.

The changes are seen as putting the bank’s leadership structure on a more solid basis under Sloan, whom media reports said is tipped to take over from Stumpf.  the bank’s embattled chairman and chief executive. Sloan has been head of Wells Fargo’s wholesale banking division, and seen as relatively unscathed by the scandal in the firm’s retail banking side. Wellls Fargo agreed last month to pay $185 million in penalties for fraudulently opening as many as two million bank and credit card accounts that may not have been authorized by clients.

The matter has not, as far as this publication can established, had any bearing on Wells Fargo’s ultra high net worth business, Abbot Downing.
David Carroll, head of wealth and investment management, and Mary Mack, head of community banking, will continue to report to Sloan. Carroll currently serves on the operating committee, and Mack will join effective November 1.

In addition to Carroll and Modjtabai, who report to Sloan, the committee includesthe following persons reporting to St Stumpf:

Hope Hardison, chief administrative officer;
David Julian, chief auditor;
Michael Loughlin, chief risk officer;
John Shrewsberry, chief financial officer;
Tim Sloan, president and chief operating officer;
James Strother, general counsel.

Avid Modjtabai, head of Payments, virtual solutions and innovation. A 23-year veteran of the company and already a member of the operating committee, Modjtabai heads the consumer lending group and cross-company operations.

The following leaders will report to Modjtabai effective November 1:

Steve Ellis, innovation group;
Jerry Enos, operations;
Shelley Freeman, consumer credit cards and retail services;
Ed Kadletz, deposit products group;
Danny Peltz, Treasury management and merchant services;
Jim Smith, Wells Fargo virtual channels;
Kevin Zaney, One Wells Fargo Group.

Franklin Codel, head of consumer lending

Codel will join the operating committee and assume an expanded role that includes dealer services (indirect auto lending and commercial services) and personal lending, including direct auto, personal lines and loans and student lending.

Codel has more than 27 years of experience in the consumer finance industry and was appointed to lead home lending last year after leading the mortgage production team since 2011.

Following leaders of dealer services and personal lending, and their respective teams, will report to Codel:

Dawn Martin Harp, dealer services;
John Rasmussen, personal lending;
Brad Blackwell, housing policy and homeownership growth strategies;
Mary Coffin, home lending customer excellence;
Michael DeVito, home lending production;
Peter Diliberti, capital markets;
Kathy Gray, business capability development;
Perry Hilzendeger, home lending servicing;

Perry Pelos, head of wholesale banking.

Pelos has been named head of wholesale banking and will join the operating committee. He has spent the past 29 years with Wells Fargo, most recently serving as the head of commercial banking services, which includes business banking, middle market banking, corporate banking, treasury management, government & institutional banking (GIB), loan operations and insurance.

Some 13 leaders and their teams will report to Pelos:

John Adams, middle market banking;
Ed Blakey, specialized lending & investment;
Kyle Hranicky, corporate banking;
Henry Jordan, capital finance;
Mark Myers, commercial real estate;
Laura Oberst, business banking;
Paul Rettig, loan operations;
Laura Schupbach, Wells Fargo Insurance;
Phil Smith, government & institutional banking;
Dave Weber, wholesale risk;
Jon Weiss, Wells Fargo Securities;
George Wick, Principal investments.