JPMorgan Whistle-Blower Gets Record $30 Million From CFTC
- Award relates to bank’s asset-management case, lawyer says
- Agency head says size of award should ‘incentivize’ tipsters
The Commodity Futures Trading Commission has approved a record $30 million whistle-blower award, it said Thursday. The award was the result of information that helped the agency sanction JPMorgan Chase & Co. for failing to properly inform some wealthy clients about conflicts of interest behind its investment recommendations, according to an attorney involved in the matter.
The CFTC made the award public on Thursday without naming individuals or the bank. According to the attorney, Edward Siedle, it was the culmination of a December 2015 settlement in which JPMorgan agreed to pay regulators a total of $367 million for failing to disclose that it was steering asset-management clients into investments that would be especially profitable to the bank.