JP Morgan Nears $2 Billion Settlement In Case Tied To Madoff's Ponzi Scheme
REUTERS/Jason Reed
The bank's civil and criminal settlements would also involve a deferred prosecution agreement, a criminal action that would suspend an indictment as long as the bank acknowledged the facts of the government's case and changed its behavior, the NY Times said.
As per the deal, JPMorgan will pay more than $1 billion to the prosecutors in Manhattan and the remainder to the Office of the Comptroller of the Currency (OCC) and a unit of the Treasury Department investigating breakdowns in the bank's safeguards against money laundering.
The government plans to use some of the payout for Madoff's victims, the paper said.
Madoff was convicted in 2009 of defrauding thousands of investors and is serving a 150-year prison sentence. JPMorgan has been accused of ignoring warning signs that Madoff's business was a fraud, often to win more fees and commissions for services they provided.
JPMorgan spokesman Joseph Evangelisti declined to comment on the New York Times report when contacted by Reuters.
Once reaching the Madoff settlements, the bank will have paid some $20 billion to resolve government investigations over the last 12 months, the newspaper said.
A government official told Reuters last month that the U.S. Treasury Department's Office of the Inspector General was examining whether JPMorgan interfered with the OCC's attempts to probe the bank's relationship with Madoff.
Madoff had also separately told U.S. authorities that JPMorgan - the bank he had used during his decades-long investment scam - had tried to stop the OCC from getting information about their relationship.
(Reporting by Sakthi Prasad in Bangalore; Editing by Supriya Kurane)
- I spent $2,000 for 7 nights in a 179-square-foot room on one of the world's largest cruise ships. Take a look inside my cabin.
- Colon cancer rates are rising in young people. If you have two symptoms you should get a colonoscopy, a GI oncologist says.
- Saudi Arabia wants China to help fund its struggling $500 billion Neom megaproject. Investors may not be too excited.
- Catan adds climate change to the latest edition of the world-famous board game
- Tired of blatant misinformation in the media? This video game can help you and your family fight fake news!
- Tired of blatant misinformation in the media? This video game can help you and your family fight fake news!
- JNK India IPO allotment – How to check allotment, GMP, listing date and more
- Indian Army unveils selfie point at Hombotingla Pass ahead of 25th anniversary of Kargil Vijay Diwas
- JNK India IPO allotment date
- JioCinema New Plans
- Realme Narzo 70 Launched
- Apple Let Loose event
- Elon Musk Apology
- RIL cash flows
- Charlie Munger
- Feedbank IPO allotment
- Tata IPO allotment
- Most generous retirement plans
- Broadcom lays off
- Cibil Score vs Cibil Report
- Birla and Bajaj in top Richest
- Nestle Sept 2023 report
- India Equity Market