JPMorgan deal with DoJ could collapse: WSJ

CNBC
JPMorgan deal with DoJ could collapse: WSJ
Peter Foley | Bloomberg | Getty Images


The proposed $13 billion settlement between the U.S. Department of Justice andJ.P. Morgan Chase & Co (JPM) is at risk of collapse, the Wall Street Journal reported on Tuesday, citing sources familiar with the matter.

The Journal said fights over separate criminal charges and insurance could scuttle the deal, but that talks were ongoing as of Tuesday afternoon.

The paper had previously reported that JPMorgan wanted to recover any portion of the deal related to Washington Mutual bonds from a pool of funds for that bank's creditors at the Federal Deposit Insurance Corp.

That, the paper said, set up the prospect of the FDIC-a federal agency-effectively funding part of JPMorgan's settlement with the government.

For the full WSJ story, click here.

JPMorgan shares fell 0.3 percent in afternoon trading. (What's the stock doing now? Click here (JPM))

Volume was very heavy, with 4.5 million shares trading hands in just 20 minutes after the WSJ report, representing more than a third of the stock's total turnover for the day.

This story is developing. Please check back for further updates.

Click here for the latest on the markets.




More From CNBC