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Citizens Financial shares fall 2% after employees admit fabricating 'Citizens Checkup' data

A Citizens Financial Group bank branch in Boston
Kelvin Ma | Bloomberg | Getty Images
A Citizens Financial Group bank branch in Boston

Shares of Citizens Financial dropped 2 percent after 11 former and current branch employees said they falsely produced information regarding the bank's financial checkup program, according to a Wall Street Journal report.

In the report, former and current employees across five states claimed they would write random names of customers and say the customer either didn't buy any new products at a "Citizens Checkup" or never showed up for the fake meeting.

Citizens Financial told The Wall Street Journal it has "no data to suggest that any aspect of the Citizens Checkup program was fabricated or falsified," and it has "strict controls and standards to ensure that inappropriate behavior is detected and addressed."

Falsified data on the meetings could lead investors to make incorrect inferences on the company's culture and internal controls. Some of the employees said they falsified the information because they felt pressured to have a certain amount of appointments while still fulfilling other duties, despite time constraints, according to The Wall Street Journal.

Citizens head of consumer banking Brad Conner said, in a statement to the newspaper, "We take every allegation seriously, and our chief conduct officer will lead a thorough review."

Read more about the story on The Wall Street Journal's website.

Shares of Citizens Financial one-month performance

(Source: FactSet)

Shares of Citizens Financial are down over 7 percent since February 28.

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