Feds Investigating American Express Over Business Payment Cards
Several federal agencies responsible for various aspects of financial industry regulation are currently investigating American Express (NYSE: AXP) over alleged misconduct regarding its corporate payment cards.
According to an article published on Thursday by The Wall Street Journal and citing "people familiar with the matter," the inspectors general offices of the Federal Deposit Insurance Corporation (FDIC), the Federal Reserve, and the Treasury Department, in addition to the Office of the Controller of the Currency, are probing the matter.
The investigations concern allegations that American Express used what the newspaper characterized as "false and misleading sales tactics" to convince business owners to obtain such cards. The agencies are also looking into how and if customers were harmed through these activities.
Source Fool.com
