Crime does not pay. They never listen they never learn.
Federal authorities will arrest two former JPMorgan Chase & Co. employees on suspicion that they tried to conceal losses incurred by the infamous 'London Whale.'Javier Martin-Artajo and Julien Grout are expected to be arrested in London in coming days for their part in trying to conceal the investment bank's $6 billion trading loss last year, the New York Times first reported Friday.
as i TOLD YOU dickie, the operative tome here is "lord of the flies" in cabalero land.
or to skip to the money quote "there is no honor among Wall Streeters". and more importantly, unlike martha, they can't do time. nervous times in the bunker.
Bruno Iksil, the former JPMorgan Chase & Co. (JPM) trader whose bets caused more than $6.2 billion in losses last year, is now central to any U.S. charges against his former colleagues.
Iksil, the Frenchman who became known as the London Whale because of his trading book’s size, has been cooperating with the Federal Bureau of Investigation and the Manhattan U.S. Attorney’s Office for months in their probe of the New York-based bank’s biggest trading debacle ever, said three people with direct knowledge with the matter. Iksil won’t face charges as long as he cooperates and testifies, the people said.
The details of the case against the London Whale(s) is by now well known and fully documented here. What is also known is the everyone in the London CIO office was responsible for the massive multi-billion loss, and the blame stretches all the way to Jamie Dimon for i) lack of supervision, ii) being completely unaware of what was going on in his firm, or worst iii) lying about what he knew, when he knew it, because for Jamie to be unaware for months about the "tempest in a teapot" is something very few believe.
The only question remaining is who will be the main snitch. For now, that honor falls to the Frenchman. However, if and when he throws his former co-workers under the bus, one wonders whom Martin-Artajo will snitch out, and/or if the chain keeps moving up, will Ina Drew say a few bad words under oath about Jamie Dimon, who may or may not have perjured himself as well. After all, there is no honor among Wall Streeters.
Then again, in the United Banana Republic States, where the president appoints as head of the NSA-commission the same person who lied under oath to Congress about the NSA, we can imagine even if Jamie were to be ultimately thrown under the bus, he would at worst get another set of presidential cufflinks, most likely with a presidential commendation.
"While authorities are not pursuing charges against JPMorgan’s top executives, according to the people briefed on the matter, the bank is nonetheless bracing for civil charges from regulators. The Securities and Exchange Commission, which is expected to cite the bank for lax controls that allowed the traders to undervalue the bets, could strike a settlement with the bank as soon as this fall.
The Financial Conduct Authority, a British regulator, also plans to fine the bank in the coming months, one person said.
In an unusually aggressive move, the S.E.C. is seeking to extract an admission of wrongdoing from the nation’s biggest bank. If JPMorgan concedes to that demand, such an admission would reverse a longtime practice at the S.E.C., which has allowed defendants for decades to “neither admit nor deny wrongdoing.” The people briefed on the case added that the agency had not threatened to file civil charges against JPMorgan executives.