JPMorgan will pay out $153.6 million to settle a federal civil suit that alleged the bank fraudulently misled mortgage investors during a 2007 deal involving Magnetar Capital. The deal represents neither an admission nor denial of guilt for the charges. Said investors included “autoworkers for General Motors, a Lutheran financial organization in Minneapolis and a retirement services company in Topeka, Kan.,” explains the Associated Press. So just a bunch of fat-cat suits out of touch with real America, then.
Rough day for JPMorgan-Kansas relations, coming as it does after the news that the bank is also being sued in Kansas City Federal Court by five credit unions. Jamie Dimon may move his traditional Friday happy hour up a few days this week, and it might be less happy than usual.
JPMorgan to Pay $153.6M to Settle Fraud Charges [AP]
