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Illinois AG Sues Wells Fargo Alleging Discrimination
CHICAGO (AP) -- Wells Fargo is denying race plays any role in how it does business.

It released a statement Friday in reaction to a lawsuit filed by Attorney General Lisa Madigan in Chicago.

That lawsuit alleges the mortgage lending giant discriminates against black and Latino homeowners. It claims Wells Fargo sold them high-cost subprime mortgage loans while white borrowers with similar incomes received lower-cost loans.

But Wells Fargo says it's disturbed the attorney general chose to file a lawsuit that the company says is based on a mischaracterization of its commitment to fair and responsible lending.

It also says its pricing properly reflects the risk in transactions, including credit and property type.

The lawsuit seeks to rescind contracts entered into between Wells Fargo and the consumers allegedly discriminated against.

(Copyright 2009 by The Associated Press. All Rights Reserved.)
07 31 09 by Newsroom
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