The investment companies would not have put up the money if it were not for the assurances of the Wells Fargo employees that similar deals had been done successfully in the past with the movie production companies, the suit says. They also relied on the reputation of the Wells Fargo brand as an assurance the deal was legitimate, the suit says.
“In the end, what at first appeared to be legitimate, short-term financing opportunities turned out to be an extensive fraudulent enterprise through which millions of dollars of the plaintiffs’ monies were stolen and diverted,” the suit says.