JPMorgan faces criminal and civil probes over mortgages

[ProSense]

JPMorgan faces criminal and civil probes over mortgages

(Reuters) - JPMorgan Chase & Co, the biggest U.S. bank by assets, said on Wednesday it is being investigated by criminal and civil divisions of the U.S. Department of Justice over offerings of mortgage-backed securities.

The civil division gave the company a notice in May that it had preliminarily concluded that the firm violated federal securities laws in offerings of subprime and Alt-A residential mortgage securities during 2005 to 2007, JPMorgan said.

JPMorgan said in the filing that it is responding to parallel investigations being conducted by the civil and criminal divisions of the United States Attorney's Office for the Eastern District of California relating to mortgage-backed securities.

The company made the disclosures in a quarterly filing with the Securities and Exchange Commission.

On Tuesday, federal prosecutors filed a $850 million civil lawsuit against Bank of America Corp over the sale of bonds backed by jumbo mortgages. The lawsuit followed a disclosure by Bank of America on August 1 that it expected to be sued by the Department of Justice and SEC over mortgage bonds.

- more -

http://www.reuters.com/article/2013/08/07/us-jpmorgan-probes-idUSBRE97617T20130807

[mick063]

1. A bank reporting it's own investigation.

Sounds like a pacifier.

I'm holding out for DOJ to announce a charge. Not a fine. A charge.

[Jackpine Radical]

2. I think they're required to announce things like that.

Otherwise they set themselves up for insider trading problems.

That said, this isn't about little people who were screwed over on their mortgages. It's about the Big Guys whom JP conned into buying bad paper.

It's basically one segment of the 1% who feel wronged by another set of 1%er cheats.

[kentuck]

5. I think that info has to be in their SEC Report?

But they would like you to know that they are being investigated by a US Attorney in the Eastern Branch of California.

Now if this US Attorney declares them innocent of any wrongdoing, what card does the Justice Department have to play?

I suspect this is their expectation?

[tridim]

3. Go get em Obama!

[Cha]

4. Good! thanks PS

[SHRED]

6. Ho Hum...nothing will come of this

Excuse my cynicism but we are talking about the suit and tie Wall St crowd not the working class. What was formerly "our" government will not bite the hand that feeds it. It will not turn on it's Wall St masters except for a symbolic slap on the wrist to appease the proles.