First Bank files suit against Wells Fargo in takeover battle for First Interstate

Corporate Growth Report Weekly, Dec 26, 1995

In the latest development of the unfolding First Interstate Bancorp drama, First Bank System Inc. has filed suit against Wells Fargo & Co. its rival bidder for First Interstate. That complaint alleges a total of 14 instances of "false statements and deceptions made by Wells Fargo and designed to advance its campaign of manipulation and sabotage" of First Bank System's proposed pact with First Interstate.

First Bank alleges that San Francisco-based Wells released inaccurate information to Wall Street analysts pertaining to its improved earnings which were out of line considering its plans to initiate an exchange offer for First Interstate. Wells categorically denied any violation of securities laws.