Jury selection begins Tuesday in Los Angeles Superior Court in a lending discrimination class action against Wells Fargo Bank. Class members are loan customers in minority communities in Los Angeles. Plaintiffs’ counsel will be arguing that Wells Fargo consistently and knowingly discriminated against borrowers in minority neighborhoods, resulting in these borrowers paying more for their loans than borrowers in other parts of Los Angeles County. (Opal Jones, et. al v. Wells Fargo Bank, N.A., Wells Fargo Home Mortgage, et. al Los Angeles Superior Court, Case No. BC337821). Judge Anthony J. Mohr is the presiding judge. When certifying the class last year, Judge Mohr referred to The Unruh Civil Rights Act. The Act makes it illegal to deny, aid or incite a denial, or make any discrimination or distinction on the basis of, among other things, race, color or national origin. This includes the failure or refusal to provide all persons with full and equal advantages and services in all business establishments. According to the class action filing, Wells Fargo introduced a computer program in 2002 called “Loan Economics,” which gave loan officers the ability to offer discounts to loan applicants that lowered overall loan costs through reduced fees and interest rates. The lawsuit alleges that branches in predominately white communities could use the program to price loans, while bank branches in predominately minority communities were prevented from doing so by Wells Fargo management.
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