This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/business-21799423
The article has changed 4 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| Ex-JP Morgan chief Ina Drew says not to blame for losses | |
| (35 minutes later) | |
| Ina Drew, a former JP Morgan bank executive whose department suffered multi-billion-dollar losses, has said she was not to blame for them. | Ina Drew, a former JP Morgan bank executive whose department suffered multi-billion-dollar losses, has said she was not to blame for them. |
| Ina Drew, who was chief investment officer, said the bank's risk models were flawed and that some London-based staff hid information from her. | Ina Drew, who was chief investment officer, said the bank's risk models were flawed and that some London-based staff hid information from her. |
| She was one of several people giving evidence to the Senate Permanent Subcommittee on Investigations. | She was one of several people giving evidence to the Senate Permanent Subcommittee on Investigations. |
| The bank lost $6.2bn (£4.1bn) in what was nicknamed the London Whale trades. | The bank lost $6.2bn (£4.1bn) in what was nicknamed the London Whale trades. |
| Bruno Iksil, the trader at the heart of the incident, was dubbed the London Whale because the positions taken were big enough to move markets. | Bruno Iksil, the trader at the heart of the incident, was dubbed the London Whale because the positions taken were big enough to move markets. |
| Ms Drew said that she believed her oversight of the department was "reasonable and diligent". She said she had no knowledge that some trades were inflated or "not reported in good faith". | Ms Drew said that she believed her oversight of the department was "reasonable and diligent". She said she had no knowledge that some trades were inflated or "not reported in good faith". |
| "Some members of the London team failed to value positions properly and in good faith, minimised reported and projected losses, and hid from me important information regarding the true risks of the book," she added. | |
| On Thursday, the subcommittee issued a report which said that JP Morgan had ignored risks, misled investors and fought with financial regulators. | On Thursday, the subcommittee issued a report which said that JP Morgan had ignored risks, misled investors and fought with financial regulators. |
| "We found a trading operation that piled on risk, ignored limits on risk-taking, hid losses, dodged oversight and misinformed the public," said Carl Levin, the subcommittee's chairman. | "We found a trading operation that piled on risk, ignored limits on risk-taking, hid losses, dodged oversight and misinformed the public," said Carl Levin, the subcommittee's chairman. |
| In a statement released on Thursday, JP Morgan said: "While we have repeatedly acknowledged mistakes, our senior management acted in good faith." | In a statement released on Thursday, JP Morgan said: "While we have repeatedly acknowledged mistakes, our senior management acted in good faith." |
| After the trading loss came to light last year, Ms Drew resigned after 30 years with the bank and voluntarily paid back two years' worth of salary. | After the trading loss came to light last year, Ms Drew resigned after 30 years with the bank and voluntarily paid back two years' worth of salary. |