Welcome to DU!
The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards.
Join the community:
Create a free account
Support DU (and get rid of ads!):
Become a Star Member
Latest Breaking News
General Discussion
The DU Lounge
All Forums
Issue Forums
Culture Forums
Alliance Forums
Region Forums
Support Forums
Help & Search
JP Morgan faces US probe over alleged hiring of Chinese princelings
Source: Reuters
JP Morgan faces US probe over alleged hiring of Chinese princelings
Reuters
theguardian.com, Sunday 18 August 2013 15.13 BST
US authorities have opened an investigation into whether JP Morgan Chase & Co hired the children of powerful Chinese officials to help it win business in China, according to the New York Times.
Investment banks have a long history of employing the children of China's politically connected. While close ties to top government officials is a boon to any banking franchise across the world, it's especially beneficial in China, where relationships and personal connections play a critical role in business decisions.
The approval process for a stock offering in China, for example, is one area that has come under criticism inside and outside the country for being opaque and prone to cronyism.
For JP Morgan, the China hiring probe comes while the bank is under intense scrutiny following the $6bn trading loss it suffered in the "London Whale" derivatives scandal. Federal prosecutors on Wednesday brought criminal charges against two former JP Morgan traders - Javier Martin-Artajo and Julien Grout - accusing the pair of deliberately understating losses on the trades on the bank's books.
[font size=1]-snip-[/font]
Reuters
theguardian.com, Sunday 18 August 2013 15.13 BST
US authorities have opened an investigation into whether JP Morgan Chase & Co hired the children of powerful Chinese officials to help it win business in China, according to the New York Times.
Investment banks have a long history of employing the children of China's politically connected. While close ties to top government officials is a boon to any banking franchise across the world, it's especially beneficial in China, where relationships and personal connections play a critical role in business decisions.
The approval process for a stock offering in China, for example, is one area that has come under criticism inside and outside the country for being opaque and prone to cronyism.
For JP Morgan, the China hiring probe comes while the bank is under intense scrutiny following the $6bn trading loss it suffered in the "London Whale" derivatives scandal. Federal prosecutors on Wednesday brought criminal charges against two former JP Morgan traders - Javier Martin-Artajo and Julien Grout - accusing the pair of deliberately understating losses on the trades on the bank's books.
[font size=1]-snip-[/font]
Read more: http://www.theguardian.com/business/2013/aug/18/jp-morgan-china-bribery-investigation
1 replies
= new reply since forum marked as read
= new reply since forum marked as read
