JPMorgan Chase: Bank Faces Major Regulatory Action

Remember, it has been suggested here on my blog that until we see some of these actions are beginning to benefit us, this is all about the in-fighting of the 1%, who are angry that things are going badly for them. . . ~J

CBS

January 11, 2013

JPMorgan Chase (JPM) is likely to face a major regulatory action connected with firm’s anti-money laundering and compliance programs. The banks two main regulators, the Office of the Comptroller and the Currency (OCC) and the Federal Reserve, are expected to announce the action as early as today, according to Reuters, which would likely be in the form of a cease and desist order. A cease and desist order is the harshest form of enforcement action that the OCC can issue. While the bank is not expected to pay a monetary penalty, the order could potentially limit the bank’s business activities and strategic opportunities. Additionally, the bank will be required to enhance its monitoring and risk surveillance systems and procedures.

JPM CEO Jamie Dimon can’t blame this on a “flawed, complex, poorly reviewed, poorly executed and poorly monitored” strategy, like he did when the bank lost $6.2 billion on the so-called “London Whale” trade, which was disclosed in May of last year. At that time, the lapse was described as an uncharacteristic black eye for its charismatic CEO.

In many ways, the current potential regulatory action is worse than any trading loss, because it indicates a systemic lapse in controls. Regulators, who heightened scrutiny in this area months ago, appear to have found a company-wide lapse in procedures and oversight connected to anti-money-laundering (AML) surveillance and risk management. AML controls are intended to deter and detect the misuse of legitimate financial channels for the funding of money laundering, terrorist financing and other criminal acts.

Read full article

Enhanced by Zemanta
This entry was posted in Financial/economic information, Illuminati/Terrorism/Corruption, Political and tagged , , , , , , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s