Wells Fargo quarterly profit slumps as legal costs mount

Wells Fargo quarterly profit slumps as legal costs mountThe lender is operating under heavy regulatory scrutiny, including an unprecedented cap on its balance sheet by the Federal Reserve, as it tries to rebuild its reputation since it was revealed that the bank had opened potentially millions of bogus accounts. San Francisco-based Wells last year appointed Charles Scharf, a one-time Jamie Dimon protégé, as its new chief executive officer, to help it rebuild its reputation with customers, investors and regulators. "Wells Fargo is a wonderful and important franchise that has made some serious mistakes, and my mandate is to make the fundamental changes necessary to regain the full trust and respect of all stakeholders," Scharf said in a statement.