WASHINGTON, Nov 24 (Reuters) – JPMorgan Chase & Co
has agreed to pay $250 million for threat administration and different
management failings in its asset and wealth administration enterprise, a
U.S. regulator mentioned on Tuesday, within the second chunky penalty for
the financial institution in lower than two months.
The Workplace of the Comptroller of the Forex (OCC) mentioned it
discovered that JPMorgan’s threat administration practices have been “poor
and it lacked adequate controls to keep away from conflicts of
The financial institution has since remediated the deficiencies that led to
this motion, it mentioned.
“We’re dedicated to delivering best-in-class controls
throughout our enterprise, and we’ve invested considerably in and
enhanced our controls platform during the last a number of years to
tackle the problems recognized,” a spokesman for the financial institution mentioned in
a press release.
JPMorgan boasts one of many worlds largest and most complicated
asset and wealth administration companies, with $1.3 trillion in
fiduciary belongings and $27.8 trillion of non-fiduciary custody
belongings, the OCC mentioned. The financial institution additionally supplies a broad vary of
funding methods to its fiduciary purchasers by a spread
of funding automobiles.
For a number of years, nonetheless, JPMorgan operated a weak
administration and management framework for its fiduciary actions
and had an inadequate audit program for, and insufficient
inside controls over, these actions, the OCC mentioned.
In its consent order with the financial institution, the OCC didn’t require
adjustments to the best way the financial institution manages consumer belongings.
Tuesday’s OCC penalty comes after the U.S. derivatives
regulator fined https://www.reuters.com/article/jp-morgan-spoofing-penalty/jpmorgan-to-pay-920-million-for-manipulating-precious-metals-treasury-market-idUSKBN26K325
JPMorgan $920 million in September to settle federal U.S.
market manipulation probes into its buying and selling of metals futures
and Treasury securities, in a landmark case for the company.
(Reporting by Michelle Value;
Enhancing by Bernadette Baum)