JP Morgan Chase
JP Morgan Chase
Abstract
The purpose of this paper is to discuss the effects of how JP Morgan Chase, the biggest U.S. bank, announced trading losses from the decision make by its Chief Investment Office in the amount of $5.8 billion. It will also discuss actions taken by the Securities and Exchange Commission (SEC) for the misconduct on the part of JP Morgan Chase.
Securities and Exchange Commission (SEC) Takes Action
I would like to begin by briefly explaining the purpose and mission of the U.S. Securities and Exchange Commission. The SEC was designed to protect investors, maintain, fair, orderly, and efficient markets and to facilitate capital formation. The SEC requires public companies to disclose significant and meaningful financial information to the public in order to guarantee security within the U.S.
Federal prosecutors and the securities regulators filed charges against the Chief Investment Office (CIO) consisting of two JP Morgan Chase traders for the massive trade losses totaling $5.8 billion. The employees were charged with conspiracy, wire fraud, falsifying financial records and making false filings with the Securities and Exchange Commission.
The Securities and Exchange Commission simultaneously filed a corresponding civil complaint in which the agency signaled it would hold the bank accountable for disclosing inaccurate information to investors about the trading.
Elements of Valid Contract – Good Faith and Fair Dealing in Banking Relationships Chapter 7 of The Legal Environment describes the element of what is contained in a valid contract. “Every contract contains and implied covenant of good faith and fair dealing in its performance that imposes on each party a duty not to do anything that will deprive the other party of the benefits of the agreement. (The Legal Environment, (2013), p.190). I feel it is important for both consumers and bank to ensure they are acting in
Abstract
The purpose of this paper is to discuss the effects of how JP Morgan Chase, the biggest U.S. bank, announced trading losses from the decision make by its Chief Investment Office in the amount of $5.8 billion. It will also discuss actions taken by the Securities and Exchange Commission (SEC) for the misconduct on the part of JP Morgan Chase.
Securities and Exchange Commission (SEC) Takes Action
I would like to begin by briefly explaining the purpose and mission of the U.S. Securities and Exchange Commission. The SEC was designed to protect investors, maintain, fair, orderly, and efficient markets and to facilitate capital formation. The SEC requires public companies to disclose significant and meaningful financial information to the public in order to guarantee security within the U.S.
Federal prosecutors and the securities regulators filed charges against the Chief Investment Office (CIO) consisting of two JP Morgan Chase traders for the massive trade losses totaling $5.8 billion. The employees were charged with conspiracy, wire fraud, falsifying financial records and making false filings with the Securities and Exchange Commission.
The Securities and Exchange Commission simultaneously filed a corresponding civil complaint in which the agency signaled it would hold the bank accountable for disclosing inaccurate information to investors about the trading.
Elements of Valid Contract – Good Faith and Fair Dealing in Banking Relationships Chapter 7 of The Legal Environment describes the element of what is contained in a valid contract. “Every contract contains and implied covenant of good faith and fair dealing in its performance that imposes on each party a duty not to do anything that will deprive the other party of the benefits of the agreement. (The Legal Environment, (2013), p.190). I feel it is important for both consumers and bank to ensure they are acting in
References: McKoy, Kevin, (2013) USA Today Bernstein, Harry, (2009). Negligence and Intentional Tort Law Douglas, Danielle, (2012). Banks Layer up on Security to Protect Customers. The Washington Post