Home

JPMorgan Chase Agrees to Settle
Download PDF
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)
Loading...

The New York based bank, JPMorgan & Chase Co. has agreed to settle with Federal Home Loan Bank of Pittsburgh to turn over the government’s draft complaint at the center of its $13 billion deal with regulators. Back in 2009, the Federal Home Loan Bank of Pittsburgh sued JPMorgan Chase and credit-ratings companies over losses on $1.8 billion in mortgage-backed securities it bought in 2006 and 2007. The bank said in court papers, the draft complaint could provide a more detailed account of the federal investigation and reveal the name of a JPMorgan employee who cooperated with the federal investigation.

The bank accused credit rating companies McGraw Hill Cos., and Moody’s Investors Services Inc. of assigning the highest possible ratings to mortgage-loan pools so that they could be sold to institutional investors while knowing the certificates were actually junk bonds, in their lawsuit. Bloomberg News has reported that the litigation with those two defendants is still continuing.

  
What
Where


During the course of the litigation The Pittsburgh FHLB claimed it had discovered discrepancies by JPMorgan employees about material representations regarding borrowers’ reported incomes and the performance of certain income loan programs. Litigators for the Federal Home Loan Bank of Pittsburgh stated in Pennsylvania state court that they had come to an agreement, but without disclosing terms of the deal. JPMorgan Chase is the biggest U.S. lender by assets. A JPMorgan Chase spokesman, Brian Marchiony, declined to comment on the announced settlement.

Summary:

The New York based bank, JPMorgan & Chase Co. has agreed to settle with Federal Home Loan Bank of Pittsburgh to turn over the government’s draft complaint at the center of its $13 billion deal with regulators. Back in 2009, the Federal Home Loan Bank of Pittsburgh sued JPMorgan Chase and credit-ratings companies over losses on $1.8 billion in mortgage-backed securities it bought in 2006 and 2007.

Get JD Journal in Your Mail

Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!




Image credit: www.bloomberg.com





 

Interesting Legal Sites You May Like


BCG FEATURED JOB

Locations:

Keyword:



Search Now

Junior Real Estate Attorney

USA-ID-Coeur D Alene

Northern Idaho office of our client seeks a real estate attorney with 1-5 years of experience. The c...

Apply Now

Litigation Associate Attorney

USA-CA-South Pasadena

South Pasadena office of our client seeks litigation associate attorney with 2+ years of experience....

Apply Now

Corporate and Real Estate Transactional Attorney

USA-TX-Dallas

Dallas office of our client seeks corporate and real estate transactional attorney with experience. ...

Apply Now

RELEVANT JOBS

Legal Secretary

USA-CA-San Jose

A downtown San Jose law firm is looking to hire a full-time legal secretary to support attorneys and...

Apply now

Associate Attorney

USA-NY-New York City

Qualifications: The ideal candidate will have 1-3 years legal experience, either in the area of a...

Apply now

Junior Associate Attorney

USA-NY-Brooklyn

Boutique law firm is looking to hire an entry-level attorney. Our main practice areas are commercial...

Apply now

Paralegal

USA-NY-Brooklyn

Boutique litigation firm seeks a full-time paralegal to grow with us. Responsibilities include prepa...

Apply now

SEARCH IN ARCHIVE

To Top