FBI into action on J.P. Morgan Chase $2 billion trading disaster in finacial firm history
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FBI into action on J.P. Morgan Chase $2 billion trading disaster in finacial firm history

New York City : NY : USA | May 16, 2012 at 9:54 AM PDT
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Jp morgan chase cover derivative scandal

Last Thursday, it was revealed the J.P. Morgan Chase had suffered more than $2 billion in trading losses tied to the value of corporate debt.

The FBI now reportedly looking into the 2 billion dollar trading loss at JP Morgan Chase, putting more pressure to the bank after U.S agencies said they were looking into high risk trades that first caught regulators' attention last monht.

Two lawsuit was filed Wednesday in New York against JPMorgan Chase in behalf of investors accusing the bank of misleading shareholders about the $2 billion in trading losses.

One suit was filed by California shareholder James Baker. A second was filed by Arizona-based Saratoga Advantage Trust's financial services portfolio.

It said Dimon and Braunstein made "materially false and misleading statements and omissions" on an April 13, 2012 earnings conference call with investors.

"Defendants misrepresented the losses and risk of loss to the company arising from massive bets on derivative contracts related to credit indexes reflecting interest rates on corporate bonds," the complaint said. "These derivative bets went horribly wrong, resulting in billions of dollars in lost capital for the company and billions more in lost market capitalization for JPMorgan shareholders."

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FBI into action on J.P. Morgan Chase $2 billion trading disaster in finacial firm history
Mary Grace Keiner is based in Lake Mills, Wisconsin, United States of America, and is an Anchor for Allvoices.
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  • Shareholders sue JPMorgan Chase over trading loss

      Turks and Caicos Free Press
    organ Chase & Co was the target of two separate lawsuits by shareholders on Wednesday, accusing the bank and its management of excessive risk that led to trading losses of at least $2 billion. A spokesman for JPMorgan Chase declined to comment on the...
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    organ Chase & Co. shareholders have sued the bank over the $2-billion trading loss disclosed last week, the Wall Street Journal reported. The suits, filed late Tuesday, claim executives misled investors about JPMorgan's risky bets and potential...
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    52 The FBI has opened a probe into trading losses at the biggest US bank, JPMorgan Chase & Co, stepping up the pressure on the bank after the US Securities and Exchange Commission and the Federal Reserve said they were also looking into the bets that...
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