Target: JPMorgan Chase
Goal: Criticize the bank’s manipulation of documents, and ignoring of internal controls, as it accrued exponential trading losses last year
A recent congressional report shows that JPMorgan Chase, the biggest bank in the United States, manipulated internal controls and documents in an attempt to avoid regulations during a run of trading losses last year. This multibillion dollar trading mess claimed the jobs of several top executives at the company, and has spurred an investigation by the FBI. This shady business is further evidence that major banks need more regulation, and that existing regulation needs to be enforced more effectively.
This 300-page report was released a day before a Senate subcommittee plans to questions bank executive and regulators at a hearing. In addition to the document manipulation, Jamie Dimon, influential chief executive at the company, has been accused of withholding information from regulators. Mr. Dimon, who previously had a reputation of managing and mitigating risk, comes under the most heat from this report. The report also shows that he signed off on changes to an an internal alert system that underestimated losses, which now total more than $6 billion.
These extreme losses and irresponsible trading cannot be tolerated, especially when done while attempting to avoid regulators. Commend Congress for this report, and condemn JPMorgan Chase executives for their reckless actions.
Dear JPMorgan Chase,
Your behavior during your recent string of trading losses — amounting to over $6 billion in total — is simply unacceptable. Your ignoring of regulations and deceptive internal actions are reminiscent of what caused the financial meltdown in the first place, and cannot be allowed to go on.
At the head of all of this is Jamie Dimon, previously held in high regard for his risk management abilities. Mr. Dimon, according to the recent congressional report, signed off on changes to an internal alarm system that underestimated losses, and withheld information from regulators. All of these actions are not acceptable, and I am writing you this letter today to urge you to take action so that this does not happen again.
[Your Name Here]
Photo credit: Nmajdan via Wikimedia Commons