Bank Regulators Join Investigation Into JPMorgan’s China Hiring
- Fed said to seek as much as $62 million in possible settlement
- OCC is also examining whether bank made hires to win business
JPMorgan Chase & Co. signage is displayed at its Madison Avenue building in New York, U.S., on Tuesday, Jan. 12, 2016. JPMorgan Chase is scheduled to release earnings data on January 14.
Photographer: Michael Nagle/BloombergThe Federal Reserve and the Office of the Comptroller of Currency have joined investigations into JPMorgan Chase & Co.’s hiring practices in China, according to people familiar with the matter.
The Fed is seeking a fine of as much as $62 million from the bank, and the OCC is also seeking punishments to settle claims that a breakdown in controls resulted in JPMorgan inappropriately hiring the children of Chinese officials to win business, the people said, asking not to be identified because the talks are private. Those probes would come on top of settlements being negotiated with the U.S. Securities and Exchange Commission and federal prosecutors.