The FDIC defended the pace of its severance audits, which in some cases have taken months to finish.
"When delays occur, it is generally because the applying institution provided incomplete or inconsistent information," said Barbara Hagenbaugh, spokeswoman for the FDIC.
Severance payouts are simple to calculate for rank-and-file Wells Fargo employees who can get two weeks' pay for each year of work. It gets more complex for senior executives who get a mix of salary, bonuses, stocks and other perks.
For example, James Strother, the bank's former chief counsel who retired this summer, was among senior Wells Fargo executives that had $32 million in payouts frozen in March. But Strother has yet to repay a $310,000 interest-free loan Wells Fargo granted him in 2001, a year before such insider loans were banned, according to securities filings and the bank.
"Mr. Strother has informed us that he does plan on paying back the loan, as required and expected," said Diana Rodriguez, a spokeswoman for Wells Fargo.
Strother declined to comment.
According to several former officials, the FDIC has authority to scrutinize such loans under their 'golden parachute' review, adding another layer of complexity to the process.
This article was provided by Reuters.