By David Glovin

Feb. 8 (Bloomberg) -- John Stumpf, chief executive officer of Wells Fargo & Co., defended corporate events that recognize top achievers after the bank canceled at least two because of what he said was “misleading” news coverage.

In a full-page ad in today’s New York Times, Stumpf said the events serve to honor top bankers, financial advisers, tellers and mortgage salespeople at the second-biggest U.S. home lender. The bank, which received $25 billion in government bailout aid last year, is compelled to cancel the meetings amid “misperceptions” created by media reports, he said.

“The problem is many media stories on this subject have been deliberately misleading,” Stumpf wrote. “These one-sided stories lead you to believe every employee recognition event is a junket, a boondoggle, a waste, or that it’s for highly-paid executives. Nonsense!”

Lawmakers and regulators have disparaged financial companies for perks and bonuses offered to employees since the U.S. government’s $700 billion rescue plan was announced in October. Citigroup Inc., which has $45 billion in government bailout funds, and U.S. Bancorp, the biggest bank based in Minnesota, also canceled employee-recognition events.

$2.55 Billion Loss

Wells Fargo, which was one of nine banks to receive funds in the first round of the U.S. Treasury’s bailout, said on Feb. 3 that it had canceled a four-day event for its home-lending unit in Las Vegas. The lender also said it had already abandoned plans for other functions.

The San Francisco-based bank last month reported a $2.55 billion fourth-quarter loss after acquiring Wachovia Corp. and its portfolio of troubled mortgages. Wells Fargo received $25 billion from the U.S. government in October as part of the Troubled Asset Relief program designed to spur lending and save the financial system.

Stumpf said in today’s ad the events typically recognize employees who work long hours and enabled the bank to make more than $500 billion in loan commitments and mortgage originations over the last 18 months.

“For many, it’s the only time in their lives that they’re publicly recognized and thanked for a job well done,” he wrote. “This recognition energizes them. It inspires them.”

The events are financed by bank profits, and not from the government, he said.

Wells Fargo spokeswoman Julia Tunis Bernard didn’t immediately return a call seeking further comment.

Wells Fargo’s event for the home-lending unit was scheduled to take place at Wynn Resort Ltd.’s hotels. An insurance-team meeting for 40 people was planned at the Mandalay Bay Resort & Casino starting Feb. 25, according to the Las Vegas Convention and Visitors Authority’s Web site.

Shares of Well Fargo rose $2.87 to $19.14 in New York Stock Exchange trading on Feb. 6. The stock is down 35 percent in the past 12 months.

To contact the reporter on this story: David Glovin in New York federal court at [email protected].

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