Changes

In January 2011, JPMorgan Chase admitted that it wrongly overcharged several thousand military families for their mortgages. JPMorgan also admitted to improperly foreclosing on more than a dozen military families. These actions violated the Servicemembers Civil Relief Act which automatically lowers mortgage rates to 6 percent, and bars foreclosure proceedings of active duty personnel.  An official stated that the situation was "grim", and Chase initially stated it would be refunding up to $2,000,000 to those who were overcharged, and that families improperly foreclosed on have gotten or will get their homes back.<ref>[http://www.msnbc.msn.com/id/41043127/ "No. 2 bank overcharged troops on mortgages"], [[MSNBC]], January 17, 2011</ref>

In January 2011, JPMorgan Chase admitted that it wrongly overcharged several thousand military families for their mortgages. JPMorgan also admitted to improperly foreclosing on more than a dozen military families. These actions violated the Servicemembers Civil Relief Act which automatically lowers mortgage rates to 6 percent, and bars foreclosure proceedings of active duty personnel.  An official stated that the situation was "grim", and Chase initially stated it would be refunding up to $2,000,000 to those who were overcharged, and that families improperly foreclosed on have gotten or will get their homes back.<ref>[http://www.msnbc.msn.com/id/41043127/ "No. 2 bank overcharged troops on mortgages"], [[MSNBC]], January 17, 2011</ref>

 

In April and May 2012 very large trading losses occurred at JPMorgan's Chief Investment Office, based on transactions booked through its London branch.  A series of derivative transactions involving credit default swaps (CDS) were entered into, reportedly as part of the bank's "hedging" strategy. Trader Bruno Iksil, nicknamed the "London Whale" accumulated very large CDS positions in the market. JPMorgan announced that it estimated the trading loss as exceeding $2 billion, but the final actual loss is expected to be substantially larger. Many investigations were launched to investigate the risk management system and controls in place and operating at the firm. When CEO [[Jamie Dimon]] testified before Congress on June 19, he refused to explain what went wrong with the derivatives, but claimed they were designed to hedge JPMorgan's risks in financial markets. Ina Drew, the Chief Investment Officer of JPMorgan, resigned when the loss was announced.   

In April and May 2012 very large trading losses occurred at JPMorgan's Chief Investment Office, based on transactions booked through its London branch.  A series of derivative transactions involving credit default swaps (CDS) were entered into, reportedly as part of the bank's "hedging" strategy. Trader Bruno Iksil, nicknamed the "London Whale" accumulated very large CDS positions in the market. JPMorgan announced that it estimated the trading loss as exceeding $2 billion, but the final actual loss is expected to be substantially larger. Many investigations were launched to investigate the risk management system and controls in place and operating at the firm. When CEO [[Jamie Dimon]] testified before Congress on June 19, he refused to explain what went wrong with the derivatives, but claimed they were designed to hedge JPMorgan's risks in financial markets. Ina Drew, the Chief Investment Officer of JPMorgan, resigned when the loss was announced.