Arab Today, arab today us regulator \inadequate\ controls led to jpmorgan loss
Last Updated : GMT 00:13:47
Arab Today, arab today
Arab Today, arab today

US regulator: \'inadequate\' controls led to JPMorgan loss

Arab Today, arab today

Arab Today, arab today US regulator: \'inadequate\' controls led to JPMorgan loss

Washington - AFP

A top US bank regulator told lawmakers Wednesday that \"inadequate\" risk controls at JPMorgan Chase led to a $2 billion derivatives loss, as a top senator called for increased scrutiny of Wall Street. Congress is holding a series of hearings on the disastrous derivative trading strategy reported by the bank last month that sent shudders through the still-frail financial system. Thomas Curry, who heads the Office of the Comptroller of the Currency (OCC), was in the spotlight for his organization\'s oversight of the bank unit responsible for the loss. \"The issue at JPMorgan Chase is one of inadequate risk management\" within the chief investment office, Curry said when questioned by the Senate Banking Committee. He said his agency is poring over audit reports and interviewing officials both at JPMorgan and the OCC to establish \"a detailed chronology of events\" leading up to the disastrous loss. \"Our analysis will focus on where breakdowns or failures occurred,\" he said in his testimony. Curry told the packed hearing that while the massive loss affects the bank\'s earnings, it \"does not present a solvency issue.\" JPMorgan Chase has some $1.8 trillion in assets, including $101 billion in Tier 1 common capital, he said. But amid worries that so-called \"too big to fail\" banks like JPMorgan were taking excessive risks that could damage the entire financial system, senators expressed concern that regulators were too lax in monitoring huge trades. \"What did the comptrollers office know, and were you on top of things?\" asked Richard Shelby, the committee\'s ranking Republican. Curry responded that his concern about the bank intensified in April \"as losses increased within the portfolio.\" The OCC focused on \"managing and monitoring the bank\'s efforts to mitigate or de-risk that particular portfolio with the objective of ensuring there is a soft landing of that particular position,\" he said. The series of hearings -- JPMorgan\'s chief executive Jamie Dimon has been invited to testify before Congress twice later this month -- comes amid fierce debate over the Volcker Rule, a potential new policy which would bar banks from trading with their own funds in a bid to prevent them from taking dangerous risks while enjoying government guarantees. Banking Committee chairman Tim Johnson said he disagreed with complaints that new Wall Street reforms urge regulators \"to micromanage\" banks. \"To restore confidence in our financial system after the crisis, we need more, not less, scrutiny of Wall Street\'s activities,\" Johnson said. Senator Patrick Toomey and other Republicans argued that the Volcker rule would merely limit banks\' abilities to manage risk, and would impede their free-market trading. \"I\'m very, very concerned that we have created a monster,\" Toomey told the regulators. There were \"over 100 examiners on the ground full time at JPMorgan alone,\" he noted, and they still failed to spot and interdict the bank\'s alarming losses. He said capital was the essential tool to reduce systemic risk and provide a buffer against banks that get in trouble.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today us regulator \inadequate\ controls led to jpmorgan loss Arab Today, arab today us regulator \inadequate\ controls led to jpmorgan loss

 



Arab Today, arab today
Arab Today, arab today Ideen Belmahdy happy to be part of “ Fashion Star”

GMT 17:00 2017 Sunday ,26 February

Ideen Belmahdy happy to be part of “ Fashion Star”
Arab Today, arab today Tourist guide explains types of tourism

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Iran complying with nuclear deal

GMT 07:14 2017 Saturday ,25 February

Iran complying with nuclear deal
Arab Today, arab today Ayat Abaza says state TV presented major stars

GMT 03:52 2017 Sunday ,26 February

Ayat Abaza says state TV presented major stars
View News in Arabic - Business: مصارف
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Ola Ghanem hopes to work with M.Ramadan

GMT 07:23 2017 Friday ,24 February

Ola Ghanem hopes to work with M.Ramadan
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 06:08 2017 Thursday ,23 February

Actress Lobna Abdel Aziz proud of her career

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 13:47 2017 Friday ,24 February

Rabia Fatima reveals role of "Facebook" in her career

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 10:20 2017 Thursday ,23 February

Brazil's top diplomat resigns

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday