JPMorgan Chase & amp; Co. is an American multinational investment and financial services bank headquartered in New York City. In addition to being the largest bank in the United States, JPMorgan is the second most valuable bank in the world by market capitalization.
As a bank "Bulge Bracket", it is a major provider of various investment banking and financial services. This is one of America's Big Four banks, along with Bank of America, Wells Fargo, and Citigroup. JPMorgan is considered a universal bank and custodian bank. The J.P. The Morgan brand, historically known as Morgan , is used by investment banking, asset management, private banking, personal wealth management, and treasury & amp; securities services division. Fiduciary activities in private banking and personal wealth management are conducted under the auspices of JPMorgan Chase Bank, N.A.-- the true trustee. The Chase brand is used for credit card services in the United States and Canada, banking retail banking activities in the United States, and commercial banking. Both retail and commercial banks and bank headquarters are located at 270 Park Avenue in Midtown Manhattan, New York City. The company was formed in 2000, when Chase Manhattan Corporation merged with J.P. Morgan & amp; Together.
In 2017-18, the bank is one of the largest asset management companies in the world with US $ 2.789 trillion in managed assets. The hedge fund unit of JPMorgan is the second largest hedge fund in the United States.
Video JPMorgan Chase
History
JPMorgan Chase, in its current structure, is the result of a combination of several major US banking companies since 1996, including Chase Manhattan Bank, J.P. Morgan & amp; Co., Bank One, Bear Stearns and Washington Mutual. Furthermore, its predecessors include major banking companies including Chemical Bank, Hanover Manufacturers, First Chicago Bank, National Bank of Detroit, Texas Commerce Bank, Providian Financial and Great Western Bank. The oldest company's previous institution, Bank of the Manhattan Company, is the third oldest banking company in the United States, and the 31st oldest bank in the world, founded on September 1, 1799, by Aaron Burr.
Chase Manhattan Bank
Chase Manhattan Bank was formed in 1955 purchasing Chase National Bank (founded in 1877) by the Bank of the Manhattan Company (founded in 1799), the company's oldest predecessor. The Bank of the Manhattan Company is a creation of Aaron Burr, which transforms The Manhattan Company from a carrier to a bank.
According to page 115 of Empire Wealth by John Steele Gordon, the origin of this JPMorgan Chase historical strand goes as follows:
At the turn of the nineteenth century, obtaining a bank charter required state legislative action. This of course injects a strong political element into the process and invites what today is called corruption but is later perceived as business as usual. Hamilton's political enemy - and the eventual killer - Aaron Burr was able to create a bank by slipping a clause into a charter for a company, called the Manhattan Company, to provide clean water to New York City. A harmless clause allows a company to invest surplus capital in any legitimate company. Within six months after the company was founded, and long before the company installed a section of water pipe, the company opened a bank, Bank of the Manhattan Company. There is still, now J. P. Morgan Chase, the largest bank in the United States.
Led by David Rockefeller during the 1970s and 1980s, Chase Manhattan emerged as one of the largest and most prestigious banking issues, with leadership positions in syndicated loans, treasury and securities services, credit cards, mortgages, and retail financial services. Minimized by the collapse of real estate in the early 1990s, it was acquired by Chemical Bank in 1996, retaining Chase's name. Before the merger with J.P. Morgan & amp; Co., Chase recently expanded its investment and asset management group through two acquisitions. In 1999, the company acquired Hambrecht & amp; Quist worth $ 1.35 billion. In April 2000, Robert Fleming & amp; Co was bought by the new Chase Manhattan Bank for $ 7.7 billion.
Chemical Banking Corporation
The New York Chemical Manufacturing Company was established in 1823 as a maker of various chemicals. In 1824, the company changed its charter to conduct banking activities and created Chemical Bank of New York. After 1851, the bank was separated from its mother and grew organically and through a series of mergers, most notably with Corn Exchange Bank in 1954, Texas Commerce Bank in 1986, and Hanover Trust Manufacturing Company in 1991 (major bank mergers first "among the equals"). In the 1980s and early 1990s, Chemistry emerged as one of the leaders in financing debt purchase transactions. In 1984, Chemical launched Chemical Venture Partners to invest in private equity transactions with various financial sponsors. In the late 1980s, Chemical expanded its reputation for financing purchases, building a syndicated financial business with leverage and related advisory business under the auspices of pioneering investment banker Jimmy Lee. At many points throughout history, Chemical Bank is the largest bank in the United States (whether in terms of assets or market share of deposits).
In 1996, Chemical Bank acquired Chase Manhattan. Although Chemistry is a nominal victim, he takes on the name Chase is more famous. To this day, JPMorgan Chase maintains a history of stock prices before 1996, as well as a former Chemical base at 270 Park Avenue.
J.P. Morgan & amp; Company
Heritage House of Morgan traces its roots to Drexel, Morgan & amp; Co., which in 1895 was renamed J.P. Morgan & amp; Co. (see also: J. Pierpont Morgan). Arguably the most influential financial institution of his era, J.P. Morgan & amp; Co financed the formation of United States Steel Corporation, which took over Andrew Carnegie and others and was the first billion dollar company in the world. In 1895, J.P. Morgan & amp; Co. supplied the United States government with $ 62 million of gold to float bond issues and return a $ 100 million surplus in treasuries. In 1892, the company began financing New York, New Haven and Hartford Railroad and led it through a series of acquisitions that made it the dominant railway transportation company in New England.
Built in 1914, 23 Wall Street is known as the "House of Morgan", and for decades the bank's headquarters is the most important address in American finance. At noon, on September 16, 1920, a terrorist bomb exploded in front of the bank, injuring 400 people and killing 38 people. Shortly before the bomb exploded, a warning note was placed in a mailbox on the corner of Cedar Street and Broadway. The warning reads: "Remember we will not tolerate much longer, free political prisoners or ensure death for all of you American Anarchist Fighter." While there are many hypotheses about who is behind the bombing and why they do it, after 20 years of investigation, the FBI has made its case inactive without ever finding the perpetrator.
In August 1914, Henry P. Davison, a Morgan partner, went to England and made a deal with the Bank of England to make J.P. Morgan & amp; Co monopoly in charge of the war bonds for England and France. The Bank of England became the "fiscal agent" of J.P. Morgan & amp; Co., and vice versa. The company also invests in suppliers of war equipment to the UK and France. Thus, the company gets a profit from financing activities and purchases of both European governments.
In the 1930s, all J.P. Morgan & amp; Co., together with all integrated banking businesses in the United States, is required by the Glass-Steagall Act to separate its investment banking from its commercial banking operations. J.P. Morgan & amp; Co chose to operate as a commercial bank, because at that time commercial loans were considered more profitable and prestigious. In addition, many inside J.P. Morgan believes that changes in the political climate will ultimately enable the company to continue its securities business but it is virtually impossible to rebuild the bank if it is dismantled.
In 1935, after being banned from securities business for more than a year, the leadership of J.P. Morgan separated his investment-banking operations. Led by partner J.P. Morgan, Henry S. Morgan (son of Jack Morgan and granddaughter of J. Pierpont Morgan) and Harold Stanley, Morgan Stanley was founded on September 16, 1935, with $ 6.6 million of nonvoting preferred stock from partner J.P. Morgan. To strengthen its position, in 1959, J.P. Morgan joins the Guaranty Trust Company in New York to form the Morgan Guaranty Trust Company. The Bank will continue to operate as the Morgan Guaranty Trust until the 1980s, before it begins to migrate back to the use of the J.P. brand. Morgan. In 1984, the group finally bought the Lafayette Indiana Purdue National Company, bringing together history between two Salmon Portland Chase and John Purdue characters. In 1988, the company once again began operating exclusively as J.P. Morgan & amp; Together.
Bank One Corporation
In 2004, JPMorgan Chase joined the Chicago-based Bank One Corp., bringing the current Chairman, CEO and President Jamie Dimon as president and COO and appointing him as CEO of William B. Harrison, jr. Substitute. Dimon payments are set at 90% of Harrison. Dimon quickly made his impact felt by starting a cost-cutting strategy, and replacing former JPMorgan Chase executive in key positions with Bank One executive - many of whom were with Dimon at Citigroup. Dimon became CEO in January 2006 and Chairman in December 2006.
Bank One Corporation was formed in a 1998 merger between Bank One of Columbus, Ohio and First Chicago NBD. These two big banking companies were created through the merger of many banks. The merger was largely deemed a failure until Dimon - who was recently overthrown as President of Citigroup - took over and reformed new corporate practices - notably disaster technology inherited from many mergers before this. Dimon made more than enough changes to make Bank One Corporation a worthy merger partner for JPMorgan Chase.
Bank One Corporation traces its roots to First Bancgroup of Ohio, established as a holding company for City National Bank of Columbus, Ohio and several other banks in the state, all named "Bank One" when the parent company was renamed Banc One Company. With the start of banking between countries they spread to other countries, always changing the names of banks purchased "Bank One", although for a long time they refused to merge them into one bank. After the first Chicago NBD merger, adverse financial results led to the departure of CEO John B. McCoy, whose father and grandfather had headed Banc One and its predecessors. Dimon was taken to head the company. JPMorgan Chase completed the acquisition of Bank One in the third quarter of 2004. The former headquarters of Bank One and First Chicago in Chicago serve as the headquarters of Chase, JPMorgan Chase's commercial and retail banking subsidiary.
Bear Stearns
At the end of 2007, Bear Stearns & amp; Co. Inc. is the fifth largest investment bank in the United States but its market capitalization has deteriorated through the second half of 2007. On Friday, March 14, 2008, Bear Stearns lost 47% of its equity market value to close at $ 30.00 per share as rumors emerged that clients withdraw capital from the bank. Over the following weekend, it emerged that Bear Stearns might prove bankrupt, and on or about March 15, 2008, the Federal Reserve drafted a deal to prevent a wider systemic crisis from the collapse of Bear Stearns.
On March 16, 2008, after an intense weekend of negotiations between JPMorgan, Bear and the federal government, JPMorgan Chase announced that it has plans to acquire Bear Stearns in a $ 2.00 per share share or $ 240 million pending shareholder approval scheduled in 90 days. In the interim, JPMorgan Chase agrees to guarantee all Bear Stearns trading and business process flows. Two days later on March 18, 2008, JPMorgan Chase officially announced the acquisition of Bear Stearns for $ 236 million. The stock exchange agreement was signed at midnight hours of March 18, 2008, with JPMorgan agreeing to exchange 0.05473 of each of its shares after the closing of the merger for a single Bear share, with Bear stock valuations at $ 2 each.
On March 24, 2008, after sufficient public discontent by Bear Stearns shareholders over the low acquisition price threatened the closing of the deal, a revised offer was announced about $ 10 per share. Under the revised terms, JPMorgan also immediately acquired 39.5% of Bear Stearns shares (using newly issued shares) at new offer prices and gained commitment from the board (representing 10% of the other share capital) whose members will vote in favor of the new agreement. With sufficient commitment to ensure a successful shareholder vote, this merger was completed on May 30, 2008.
Washington Mutual
On September 25, 2008, JPMorgan Chase purchased most of Washington Mutual's banking operations from the Federal Deposit Insurance Corporation curator. That night, the Office of Oversight of Goods, in what is by far the biggest bank failure in American history, has seized the Washington Mutual Bank and put it into the curator. FDIC sells bank assets, secures debt obligations and deposits to JPMorgan Chase & amp; Co for $ 1.836 billion, which reopened the bank the next day. As a result of the takeover, Washington Mutual shareholders lost all their equity.
JPMorgan Chase raised $ 10 billion in stock sales to cover losses and losses after taking deposits and branches of Washington Mutual. Through the acquisition, JPMorgan now has previous Providian Financial accounts, the credit card issuer WaMu acquired in 2005. The company announced plans to complete the rebranding of the Washington Mutual branches to Chase by the end of 2009.
Chief executive Alan H. Fishman received a $ 7.5 million sign-on bonus and severance pay of $ 11.6 million after being CEO for 17 days.
2013 assignment
On November 19, 2013, the Justice Department announced that JPMorgan Chase agreed to pay $ 13 billion to complete an investigation into its business practices related to mortgage-backed securities. Of that amount, $ 9 billion is fine and fine and the remaining $ 4 billion is consumer assistance. This is the largest corporate settlement to date. Behavior at Bear Stearns and Washington Mutual before their 2008 acquisition contributed many of the alleged misconduct. The treaty did not settle criminal charges.
More recent acquisitions
In 2006, JPMorgan Chase purchased Collegiate Funding Services, a private equity portfolio company, Lightyear Capital, for $ 663 million. CFS is used as a foundation for Chase Student Loans, formerly known as Chase Education Finance.
In April 2006, JPMorgan Chase acquired the retail banking and small business banking network of Bank of New York Mellon. The acquisition gave Chase access to 339 additional branches in New York, New Jersey, and Connecticut.
In March 2008, JPMorgan acquired ClimateCare's carbon offsetting company based in the UK.
In November 2009, JPMorgan announced it would acquire the balance of JPMorgan Cazenove, a joint venture advisory and guarantee established in 2004 with Cazenove Group, for GBP1 billion.
In January 2013, JPMorgan acquired Bloomspot, a San Francisco-based startup in the "offer" space for $ 35 million. Shortly after the acquisition, the service was closed and the Bloomspot talent was not used.
Acquisition history
Here is an illustration of major mergers and acquisitions of companies and historical predecessors (this is not an exhaustive list):
Recent history
In October 2014, JP Morgan sold its merchant commodity unit to Mercuria for $ 800 million, a quarter of a preliminary estimate of $ 3.5 billion, as the transaction excluded some oil and metals reserves and other assets.
In March 2016, JPMorgan decided not to finance coal mines and coal-fired power plants in rich countries.
In September 2016, JP Morgan made an equity investment in InvestCloud.
In December, 14 former Wendel investment company executives faced trials for temporary tax fraud JP Morgan Chase were pursued for engagement. Jean-Bernard Lafonta was sentenced last December for spreading false information and insider trading, and a fine of 1.5 million euros.
In March 2017, Lawrence Obracanik, former JPMorgan Chase & amp; Employee Co., pleaded guilty to criminal charges that he stole more than $ 5 million from his employer to pay off personal debt.
In June 2017, Matt Zames, a former COO of the bank decided to leave the company.
In December 2017, JP Morgan was sued by the Nigerian government for $ 875 million, which Nigerian accused of being transferred by JP Morgan to a former corrupt minister. Nigeria accuses JP Morgan of "very negligent".
Maps JPMorgan Chase
Structure
JPMorgan Chase & amp; Co. has five subsidiaries of banks in the United States: JPMorgan Chase Bank, National Association; Chase Bank USA, National Association; Custodial Trust Company; JPMorgan Chase Bank, Dearborn; and J.P. Morgan Bank and Trust Company, National Association.
For management reporting purposes, JPMorgan Chase's activities are set in the corporate/private equity segment and four business segments; consumer and community banking, corporate and investment banks, commercial banking, and asset management. Investment banking division at J.P. Morgan divided by team: industry, M & amp; A and capital markets. Industry teams include consumer and retail, health care, industry and diverse transportation, natural resources, financial institutions, metals and mining, real estate and technology, media and telecommunications. JPMorgan_Europe.2C_Ltd. "> JPMorgan Europe, Ltd. JPMorgan_Europe, _Ltd.
The company, known as Chase Manhattan International Limited, was established on September 18, 1968.
In August 2008, the bank announced plans to build a new European headquarters in Canary Wharf, London. The plan was later suspended in December 2010, when the bank announced the purchase of an existing office tower nearby at 25 Bank Street to be used as the headquarters of an investment bank in Europe. 25 Bank Street was originally designated as Enron's headquarters in Europe and later used as Lehman Brothers International (Europe) headquarters.
Regional offices are located in London with offices in Bournemouth, Glasgow, and Edinburgh for asset management, private banking, and investment.
Financial data
JPMorgan Chase was the largest bank by the end of 2008 as an individual bank. (excluding subsidiaries)
Operation
Earlier in 2011, the company announced that by using supercomputers, the time taken to assess risk has been greatly reduced, from arriving at a conclusion within hours to what is now a minute. Banking companies are using for this calculation of Field-Programmable Gate Array technology.
History
The Bank began operations in Japan in 1924, in Australia during the later part of the nineteenth century, and in Indonesia in the early 1920s. An office of Equitable Eastern Banking Corporation (one of J.P. Morgan's predecessors) opened a branch in China in 1921 and Chase National Bank was established there in 1923. The bank has been operating in Saudi Arabia and India since the 1930s. Chase Manhattan Bank opened an office in Korea in 1967. The company's presence in Greece began in 1968. A JPMorgan office opened in Taiwan in 1970, in Russia (USSR) in 1973, and the Nordic operation began in the same year. Operations in Poland began in 1995.
Lobby
PAC and its employees JP Morgan Chase contributed $ 2.6 million to a federal campaign in 2014 and financed the lobbying team with $ 4.7 million in the first three quarters of 2014. Giving JP Morgan has focused on Republicans, with 62 percent of its donations going given to GOP receivers in 2014. However, 78 House Democrats received campaign money from PAC JPMorgan in the 2014 cycle with an average of $ 5,200 and a total of 38 from Democrats who voted for spending the 2015 bill taking money from PAC JPMorgan in 2014. PAC JP Morgan Chase makes maximum contributions to the Democratic Congress and PAC Congressional Committees leadership of Steny Hoyer and Jim Himes in 2014.
Controversy
Conflicts of interest in investment research
In December 2002, Chase paid a fine of $ 80 million, with the amount shared between the state and the federal government. The fine is part of a settlement involving allegations that ten banks, including Chase, cheat investors with biased research. Total settlement with ten banks is $ 1.4 billion. The settlement requires banks to separate investment banking from the research, and prohibit the allocation of IPO shares.
Enron
Chase paid more than $ 2 billion in fines and legal settlement for their role in financing Enron Corporation by assisting and abetting securities fraud Enron Corp, which collapsed amid a financial scandal in 2001. In 2003, Chase paid a fine of $ 160 million and penalties for resolving claims by the Securities and Exchange Commission and the Manhattan district prosecutor's office. In 2005, Chase paid $ 2.2 billion to settle the lawsuit filed by investors at Enron.
WorldCom
JPMorgan Chase, which helped guarantee $ 15.4 billion of WorldCom bonds, was approved in March 2005 to pay $ 2 billion; it was 46 percent, or $ 630 million, more than would be paid if it received an investor offer in May 2004 of $ 1.37 billion. J.P. Morgan is the last major lender to settle. The payout is the second largest in the case, surpassed only by the $ 2.6 billion deal reached in 2004 by Citigroup. In March 2005, 16 of the 17 former WorldCom underwriters reached settlements with investors. Jefferson County, Alabama
In November 2009, JPMorgan Chase & amp; Co approved a $ 722 million settlement with the US Securities and Exchange Commission to end an investigation into derivative sales that helped drive the most congested areas of Alabama to bankruptcy. The settlement came a week after Birmingham, Alabama Mayor Larry Langford was convicted of 60 allegations of bribery, money laundering, and tax evasion related to the exchange of bonds to Jefferson County, Alabama. The SEC alleges that J.P. Morgan, who has been selected by the county commissioner to bear the transaction of floating rates and floating rate swap bonds, has made an undisclosed payment to close friends of the commissioners in exchange for the deal. J.P. Morgan later allegedly covered costs by charging higher interest rates on swaps.
Failure to comply with client money rules in the UK
In June 2010, JP Morgan Securities was fined £ 33.32 million ($ 49.12 million) by the UK Financial Services Authority (FSA) for failing to protect the average Ã, Â £ 5.5 billion of client money from 2002 to 2009 OJK requires the financial company to keep client funds in a separate account to protect the client if the company goes bankrupt. The Company has failed to separate client funds from corporate funds after the merger of Chase and J.P. Morgan, resulting in a violation of the OJK rules but no harm to the client. Client funds will be at risk if the company becomes bankrupt during this period. J.P. Morgan Securities reported the incident to OJK, repaired the error, and cooperated in subsequent investigations, resulting in a fine of 30% less than the original amount of Ã, £ 47.6 million.
Overcharge mortgage from active military personnel
In January 2011, JPMorgan Chase acknowledged that it mistakenly paid several thousand military families for their mortgages, including active duty personnel in Afghanistan. The bank also recognizes that improper seizures occurred in more than a dozen military families; both actions clearly violate the Civil Servicemembers Act Act which automatically reduces the mortgage rate by 6 percent, and the bar seizure process of active duty personnel. Overcharges may never be revealed if it were not for the legal action taken by Captain Jonathan Rowles. Both Captain Rowles and his wife Julia accused Chase of breaking the law and harassing the couple for not being able to pay. An official stated that the situation was "somber" and Chase initially stated it would return up to $ 2,000,000 to those who overcharge, and that unlawfully taken families have earned or will get their homes back. Chase has acknowledged that as many as 6,000 active military personnel on duty were illegally overcharged, and more than 18 military family homes were wrongly confiscated. In April, Chase agreed to pay a total of $ 27 million in compensation to settle a class-action lawsuit. At the company's 2011 shareholder meeting, Dimon apologized for the error and said the bank would forgive loans from any active duty personnel whose properties had been foreclosed. In June 2011, head of borrowing Dave Lowman was forced out of the scandal.
Truth inLending Act litigation
In 2008 and 2009, 14 lawsuits were filed against JPMorgan Chase in various district courts on behalf of Chase credit card holders who claimed the bank violated the Truth in the Loan Law, violated the contract with the consumer and violated the implied agreement of good faith and honesty. Consumers argue that Chase, with little or no notice, increases the minimum monthly payment from 2% to 5% on the balance of the loan transferred to a consumer credit card based on a fixed rate pledge. In May 2011, the United States District Court for the Northern District of California certified a class action lawsuit. On July 23, 2012, Chase agreed to pay $ 100 million to settle the claim.
Alleged manipulation of the energy market
In July 2013, the Federal Energy Regulatory Commission (FERC) approved the terms and agreement agreement in which JPMorgan Ventures Energy Corporation (JPMVEC), a subsidiary of JPMorgan Chase & Co., agreed to pay $ 410 million in penalty and disgust to taxpayers for allegations of market manipulation stemming from corporate offerings in the electricity market in California and the Midwest from September 2010 to November 2012. JPMVEC agreed to pay a civil fine of $ 285 million to the US Treasury and to lift $ 125 million in unfair profit. JPMVEC acknowledges the facts stipulated in the treaty, but does not recognize or deny the offense.
This case originated from several references to the FERC from market monitors in 2011 and 2012 on JPMVEC offering practices. FERC researchers determined that JPMVEC is involved in 12 manipulative bidding strategies designed to generate profits from power plants that typically out of money in the market. In each, the company made an offer designed to create artificial conditions that forced California and Midcontinent Independent System Operator (ISO) to pay JPMVEC off-market at a premium price.
FERC researchers further determined that JPMVEC knew that ISO California and Midcontinent ISO did not receive the benefits of making payments that were leveraged to companies, thus deceiving the ISO by getting payments for benefits that companies did not provide beyond routine energy supply. FERC researchers also determined that JPMVEC offers replace other generations and change the day ahead and the real-time price of the price to be generated if the company does not bid.
Under the Energy Policy Act of 2005, Congress directed the FERC to detect, prevent, and impose appropriate sanctions on the game of the energy market. According to the FERC, the Commission approved the settlement as in the public interest.
Criminal investigation of just obstruction
FERC's investigation of the manipulation of the energy market led to further investigation of the possibility of obstruction of justice by JPMorgan Chase employees. Various newspapers reported in September 2013 that the Federal Bureau of Investigation (FBI) and the US Attorney's Office in Manhattan were investigating whether employees withheld information or made false statements during the FERC investigation. The reported impetus for the investigation was a letter from Massachusetts Sen. Elizabeth Warren and Edward Markey, where they asked the FERC why no action was taken against those who prevented the FERC investigation. At the time of the FBI investigation, the Senate Subcommittee on Investigation also sought to find out whether JPMorgan Chase employees were holding up the FERC investigation. Reuters reports that JPMorgan Chase faced more than a dozen investigations at the time.
Breach of sanctions
On August 25, 2011, JPMorgan Chase agreed to settle fines related to sanctions violations under the Overseas Assets Supervisory regime (OFAC). The US Treasury released the following civil penalty information under the heading: "JPMorgan Chase Bank N.A. Establishes Clear Offenses from Multiple Sanctions Programs":
JPMorgan Chase Bank, N.A, New York, NY ("JPMC") has agreed to send $ 88.3 million to settle potential civil liability for actual offenses: Cuba Asset Supervisory Regulations ("CACR"), 31 C.F.R. section 515; Weapons of Mass Destruction Rules of Proliferators of Sanctions ("WMDPSR"), 31 C.F.R. section 544; Executive Order 13382, "Block Weapons Weapons of Mass Destruction and Supporters;" Regulation on Global Terrorism Sanctions ("GTSR"), 31 C.F.R. section 594; Iran's Transaction Rules ("ITR"), 31 C.F.R. section 560; Sudan Sanctions Regulation ("SSR"), 31 C.F.R. section 538; Former Liberian Regime from Charles Taylor Sanctions Rule ("FLRCTSR"), 31 C.F.R. section 593; and the Reporting, Procedure and Penalty Rules ("RPPR"), 31 C.F.R. section 501, which occurred between December 15, 2005, and March 1, 2011.
National Mortgage Settlement
On February 9, 2012, it was announced that the five largest mortgage servicers (Ally/GMAC, Bank of America, Citi, JPMorgan Chase, and Wells Fargo) approved a historic settlement with the federal government and 49 states. The settlements, known as the National Defense Settlement Rights (NMS), require servicers to provide approximately $ 26 billion in assistance to depressed homeowners and in direct payments to states and federal governments. This settlement amount makes NMS the second largest civil settlement in US history, following only the Tobacco Prime Settlement Agreement. The five banks must also comply with 305 new mortgage service standards. Oklahoma persisted and agreed to settle with the bank separately.
Speculative trading
In 2012, JPMorgan Chase & amp; Co was accused of misrepresenting and failing to disclose that the CIO has engaged in a highly risky and speculative trade that exposes JPMorgan to significant losses.
Sale of property-backed securities
In August 2013, JPMorgan Chase announced that it was under investigation by the US Department of Justice over the offer of mortgage-backed securities that led to the 2007-08 financial crisis. The company said that the Justice Department had concluded that the company violated federal securities laws in its subprime offerings and Alt-A securities mortgages over the period 2005 to 2007. Registration program
"Sons and Daughters"
In November 2016, JPMorgan Chase agreed to pay a $ 264 million fine to settle civil and criminal claims involving a systematic bribery scheme covering 2006 to 2013 in which the bank obtained a business deal in Hong Kong by agreeing to employ hundreds of friends and relatives from the Chinese government. officials, generating more than $ 100 million in revenues for banks.
Madoff Forgery
Bernie Madoff opened a business account at Chemical Bank in 1986 and defended it until 2008, shortly after Chemical acquired Chase.
In 2010, Irving Picard, the recipient of the SIPC appointed to liquidate the company Madoff, alleged that JPMorgan failed to prevent Madoff from cheating his customers. According to the lawsuit, Chase "knows or should know" that Madoff's wealth management business is a fraud. However, Chase did not report his concerns to regulators or law enforcement until October 2008, when he notified the British Serious Organized Crime Institute. Picard argues that even after Morgan's investment banker reported his worries about Madoff's performance to British officials, Chase's retail banking division did not restrict Madoff's banking activities until his arrest two months later. Recipient's lawsuit against J.P. Morgan was dismissed by the Court for failing to establish a legally recognizable loss claim.
In autumn 2013, JPMorgan starts talks with prosecutors and regulators regarding compliance with your money laundering and know-your-money banking regulations with respect to Madoff.
On January 7, 2014, JPMorgan agreed to pay a fine of $ 2.05 billion in fines and to settle civil and criminal charges related to his role in the Madoff scandal. The government filed two charges of criminal information charging JPMorgan with violations of the Bank Secrecy Act, but the indictment would be dismissed within two years provided that JPMorgan reformed its anti money laundering procedures and cooperated with the government in its investigation. The bank agreed to lose $ 1.7 billion.
The lawsuit, filed on behalf of shareholders against Chief Executive Jamie Dimon and other high-level JPMorgan employees, used a statement made by Bernie Madoff during an interview while in jail in Butner, North Carolina claiming that JPMorgan officials were aware of the fraud. The lawsuit states that, "JPMorgan is uniquely positioned for 20 years to see Madoff's crime and stop them... But faced with the prospect of closing Madoff's account and losing profitable profits, JPMorgan - at its highest level - opted to turn a blind eye."
JPMorgan also agreed to pay a $ 350 million fine to the Office of Currency Finance and settle the lawsuit filed against him by Picard for $ 543 million.
Investigation of corruption in Asia
On March 26, 2014, the Hong Kong Independent Commission Against Corruption seized computer records and documents after searching for Fang's office, the company's chief executive officer for Chinese investment banking.
Cyber ​​attacks September 2014
Cyber ​​attacks, disclosed in September 2014, jeopardize JPMorgan Chase accounts for more than 83 million subscribers. The attack was discovered by the bank's security team at the end of July 2014, but was not fully suspended until mid-August.
Allegations of alleged discrimination
In January 2017, the United States sued the company, accusing it of discriminating against "thousands" of black and Hispanic mortgage borrowers between 2006 and at least 2009.
Suicide staff
On January 28, 2014, Gabriel Magee, a senior IT programmer, died when he jumped off the roof of 25 Bank Street, which is home to European headquarters.
Office
Although Chase Manhattan Bank's headquarters is located at One Chase Manhattan Plaza (now known as 28 Liberty Street) in downtown Manhattan, the current world headquarters for JPMorgan Chase & amp; Co is located at 270 Park Avenue, the former headquarters of Chemical Bank.
Most North American operations take place in four adjacent buildings at Park Avenue in New York City: the former Union Carbide Building on 270 Park Avenue, a trading and trading operation center, and the original Chemical Bank building on 277 Park Avenue, where most banking investment activity took place. The asset and wealth management group is located at 245 Park Avenue and 345 Park Avenue. The other group is located in the former Bear Stearns building at 383 Madison Avenue.
Chase, USA and Canada, retail, commercial, and credit card banks are headquartered in Chicago at Chase Tower, Chicago, Illinois.
The Asia Pacific headquarters for JPMorgan is located in Hong Kong at Chater House.
About 11,050 employees are in Columbus at McCoy Center, former office of Bank One.
Bank memindahkan sebagian operasinya ke JPMorgan Chase Tower di Houston, ketika membeli Texas Commerce Bank.
Global Corporate Bank takes advantage of the company's wider operations in 100 countries to provide corporate banking solutions to clients in the locations where they operate. The main headquarters are in London, with regional headquarters in Hong Kong, New York, and Sao Paulo.
The Card Services Division has its headquarters in Wilmington, Delaware, with the Card Services office in Elgin, Illinois; Springfield, Missouri; San Antonio, Texas; Mumbai, India; and Cebu, Philippines.
An additional large operating center located in Phoenix, Arizona; Los Angeles, California, Newark, Delaware; Orlando, Florida; Tampa, Florida; Indianapolis, Indiana; Louisville, Kentucky; Brooklyn, New York; Rochester, New York; Columbus, Ohio; Dallas, Texas; Fort Worth, Texas; and Milwaukee, Wisconsin.
Operating centers in Canada are located in Burlington, Ontario; and Toronto, Ontario.
The UK operations centers are located in Bournemouth, Glasgow, London, Liverpool, and Swindon. The London location also serves as the European headquarters.
Additional offices and technology operations are located in Manila, Philippines; Cebu, Philippines; Mumbai, India; Bangalore, India; Hyderabad, India; New Delhi, India; Buenos Aires, Argentina; Sao Paulo, Brazil; Mexico City, Mexico, and Jerusalem, Israel.
Credit credits
The derivative teams at JPMorgan (including Blythe Masters) are pioneers in the discovery of credit derivatives such as credit default swaps. The first CDS was created to allow Exxon to borrow money from JPMorgan while JPMorgan shifted the risk to the European Reconstruction and Development Bank. The JPMorgan team later created 'BISTRO', a group of credit default swaps that are the ancestors of Synthetic CDO. In 2013, JPMorgan has the largest credit portfolio of credit and credit derivatives portfolios with a nominal value of each US bank.
Trading losses worth billions of dollars
In April 2012, people in hedge funds become aware that the market in credit default swaps may be affected by Bruno Iksil's activities, traders for J.P. Morgan Chase & amp; Co., referred to as the "London whale" refers to the great position he takes. The heavy bets that are opposed to his position are known to have been performed by the merchants, including other branches of J.P. Morgan, which buys the derivatives offered by J.P. Morgan in high volume. Initial reports are denied and minimized by the company in an effort to minimize exposure. The huge loss, $ 2 billion, was reported by the company in May 2012, linked to this trade and updated to $ 4.4 billion on July 13, 2012. The disclosure, which generated headlines in the media, did not reveal the true nature of the trades involved, which is still in progress and on June 28, 2012, continues to generate losses that could reach a total of $ 9 billion in the worst-case scenario. Traded items, possibly related to CDX IG 9, index based on default risks from major US companies, have been described as "derivatives of a derivative". At the company's emergency conference call, Chairman JPMorgan Chase, CEO and President Jamie Dimon said that the strategy was "flawed, complicated, under-reviewed, poorly executed, and not well monitored". This episode is under investigation by the Federal Reserve, SEC, and FBI.
On September 18, 2013, JPMorgan Chase agreed to pay a $ 920 million fine and penalties to American and British regulators for violations related to trade losses and other incidents. The fine is part of a multinational and multinational settlement with the Federal Reserve, the Office of the Financial Currency Supervisor and the Securities and Exchange Commission in the United States and the Financial Conduct Authority in the United Kingdom. The Company also admits violating US securities laws. Fines are the third largest banking penalty levied by US regulators, and the second largest by British authorities. On September 19, 2013, two merchants faced criminal proceedings. This is also the first time in years that major US financial institutions have publicly admitted violating securities laws.
A report by the SEC was critical of the degree of oversight from senior management to traders, and the FCA said the incident showed "weaknesses that pervade all levels of the company: from portfolio level to senior management."
On the day of fines, the BBC reported from the New York Stock Exchange that a fine "barely registered" with merchants there, the news has become an expected development and the company is ready for a financial blow.
Art collection
The collection was started in 1959 by David Rockefeller, and comprises more than 30,000 objects, of which more than 6,000 are based on photography, in 2012 containing more than a hundred works by Middle Eastern and North African artists. The One Chase Manhattan Plaza building is the original location at the beginning of the collection by Chase Manhattan Bank, the current collection containing both these and the works that First National Bank of Chicago has acquired before assimilating into the JPMorgan Chase organization. L. K. Erf has been a job acquisition director since 2004 for the bank, whose art program staff is completed by an additional three full-time members and one registrant. The advisory committees at the time of the Rockefeller initiation included A. H. Barr, and D. Miller, as well as J. J. Sweeney, R. Hale, P. Rathbone and G. Bunshaft.
Major sponsors
- Chase Field, (formerly Bank One Ballpark) Phoenix, Arizona, - Arizona Diamondbacks, MLB.
- Chase Center (San Francisco) - Golden State Warriors, NBA (Proposed)
- Major League Soccer
- Chase Auditorium (formerly Auditorium One Bank) in Chase Tower (Chicago) (formerly Bank One Tower)
- JPMorgan Chase Corporate Challenge, owned and operated by JPMorgan Chase, is the largest road racing series in the world with over 200,000 attendees in 12 cities across six countries on five continents. It has been held annually since 1977 and ranges in size from 4,000 arrivals to over 60,000.
- JPMorgan Chase is the official sponsor of the US Open.
- J.P. Morgan Asset Management is the Premier Sponsor of the Rugby 7s Premiership Series.
Leadership
Jamie Dimon is chairman and CEO of JPMorgan Chase. The acquisition agreement of Bank One in 2004, is designed to recruit Dimon to JPMorgan Chase. He became chief executive at the end of 2005. Dimon has been recognized for his leadership during the 2008 financial crisis. Under his leadership, JPMorgan Chase rescued two sick banks during the crisis.
Ex-former employee
Business
- Winthrop Aldrich - son of the late Senator Nelson Aldrich
- Andrew Crockett - former general manager of Bank for International Settlements (1994-2003)
- Pierre Danon - Eircom chairman
- Dina Dublon - Microsoft board member, Accenture and PepsiCo and former Executive Vice President and Chief Financial Officer of JPMorgan Chase
- Maria Elena Lagomasino - member of the board of The Coca-Cola Company and former CEO of JPMorgan Private Bank
- Jacob A. Frenkel - Governor of Bank of Israel
- Thomas W. Lamont - acting as chairman of J.P. Morgan & amp; Co on Black Tuesday
- Robert I. Lipp - former CEO of The Travelers Companies
- Marjorie Magner - chairman of Gannett Company
- Henry S. Morgan - co-founder of Morgan Stanley, son of J. P. Morgan, Jr. and granddaughter of financier J. P. Morgan
- Lewis Reford - Canadian political candidate
- David Rockefeller - the Rockefeller family patriarch
- Harold Stanley - former partner of JPMorgan, co-founder of Morgan Stanley
- Jan Stenbeck - former owner of AB Kinnevik Investment
Politics and public services
- Frederick Ma - Secretary of Commerce and Economic Development of Hong Kong (2007-08)
- Tony Blair - Prime Minister of the United Kingdom (1997-2007)
- William M. Daley - US Secretary of Commerce (1997-2000), Chief of Staff of the US White House (2011-2012)
- Michael Forsyth, Baron Forsyth of Drumlean - Secretary of State for Scotland (1995-97)
- Thomas S. Gates, Jr. - US Secretary of Defense (1959-61)
- David Laws - UK Head Secretary for the Ministry of Finance (May 2010) State Minister for School
- Rick Lazio - member of the US House of Representatives (1993-2001)
- Antony Leung - Hong Kong Finance Secretary (2001-03)
- Dwight Morrow - US Senator (1930-31)
- Margaret Ng - member of the Hong Kong Legislative Council
- George P. Shultz - US Secretary of Labor (1969-70), US Treasury Secretary (1972-74), US Secretary of State (1982-89)
More
- R. Gordon Wasson - ethnomycologist and former vice president of JPMorgan
Awards
- Best Banking Viewer, USA in 2016 by Global Brands Magazine Award.
See also
- Swap credit default: History
- JPMorgan Chase 2012 trading loss
- Palladium Card
- Alayne Fleischmann
Product index
- JPMorgan EMBI
- JPMorgan GBI-EM Index
References
External links
- Official website
Source of the article : Wikipedia
0 Comments