Karen Peetz–Honesty and Integrity is an Issue For Her

Ms. Karen B. Peetz has been the President of The Bank of New York Mellon Corporation since January 01, 2013 and serves as its President of BNY Mellon NA. Ms. Peetz served as the Chief Executive Officer of BNY Mellon’s Issuer, Treasury & Broker Dealer Services since July 2008.

She was Chairman of the Pennsylvania State University’s Board of Trustees when the Consent Decree with the NCAA was signed. Ms. Peetz has a Bachelor of Science from Pennsylvania State University and a Master of Science from Johns Hopkins University.

Bank of New York Mellon will pay $714 million to settle state and federal charges that it engaged in a scheme to defraud clients by systematically adding hidden spreads to foreign currency trades executed on their behalf, government prosecutors announced Thursday.
BNY Mellon, based in New York, “admitted the factual details of its fraud” and will fire certain executives involved in the fraud, including the head of products management, David Nichols, who was named as a defendant in the federal lawsuit, according to New York’s attorney general and the U.S Attorney’s office in Manhattan. The trust and custody giant also will “reform its practices to improve and increase the information it provides to its customers,” the joint release said.
BNY Mellon had foreshadowed the settlement last month in a Securities and Exchange Commission filing in which it said it was revising fourth-quarter earnings downward by $598 million to account for the anticipated deal.
State and federal fraud charges in the matter were filed in 2011. A former currency trader for BNY Mellon in Pittsburgh, Grant Wilson, was previously identified as a whistleblower in the case.

Age 58

Total Calculated Compensation 5,532,958

She is connected to 225 board members in 6 different organizations across 7 different industries


Penn State–Are we another Cornell?

For years, lawmakers have groused that Penn State walks, talks and spends like a private school. As state support continues to slide, university officials say that idea may not be so far-fetched. In response to a question Tuesday about the possibility of the university’s “becoming more private,” board of trustees Chairwoman Karen Peetz said all options are on the table. Peetz said she’s talked with representatives from Cornell, a fellow land-grant university that receives some government support but remains private. Cornell’s structure could give Penn State guidance in moving past its state-related status, she said during a meeting with faculty. “I think the Cornell model is of great interest,” she said. “They appear to have successfully managed the public/private.


Looks like she is admitting that they have done a poor job of managing the public–I happen to agree with her on this!