Regulators Cite 'Critical Deficiencies' in JPMorgan Monitoring, Reporting, Risk Controls
The huge losses in May last year led to chief investment officer Ina Drew's retirement and investigations by the UK Financial Services Authority (FSA), the US Securities and Exchange Commission (SEC) and the Federal Bureau of Investigation (FBI).
While the investigations continue, the Federal Reserve Board and Office of the Comptroller of the Currency (OCC) have issued cease and desist orders against the bank, citing deficiencies in the audit and finance functions within its chief investment office and anti-money laundering procedures.
The OCC cited "critical deficiencies" with regard to reporting, transactions monitoring, due diligence, risk assessment and internal controls.
No fines have yet been levied, nor has the bank moved to either admit or deny any fault.
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