Article brought to you by: Catholic Online (www.catholic.org)
Dimon will keep his jobs at JPMorgan Chase & Co.
By Catholic Online (NEWS CONSORTIUM)
May 15th, 2012
Catholic Online (www.catholic.org)
May 15th, 2012
Catholic Online (www.catholic.org)
In spite of a massive $2 billion loss, as well as other accounts still left unaccounted for, Jamie Dimon will retain his jobs as chairman and chief executive of JPMorgan Chase & Co. Shareholders overwhelmingly voted him back onto the board and approving executive compensation packages.
But shareholders at the bank's annual meeting in Tampa, Florida, took the opportunity to confront Dimon about the company's recently disclosed $2-billion loss and 12 percent stock plunge.
A retiree from Tampa, 54-year-old Larry Evanoff said he was concerned "about what controls are in place to prevent an incident like this from happening in the future.
"It seems like the risk management at some level would have brought this to someone's attention" earlier, he said during the meeting.
The White House earlier this week said that the JPMorgan loss highlighted the need for tough regulations, such as the Dodd-Frank financial reform law championed by President Obama.
Dimon reiterated that JPMorgan's mistakes were "self-inflicted" and that "this should have never happened," during the shareholder meeting. Dimon added, "No clients were affected. No customers suffered as a result as our mistakes."
Ina Drew, the bank's chief investment officer, announced this week that she would step down. Drew headed the JPMorgan unit responsible for the $2 billion loss.
In a related development, the Senate Banking Committee will examine the $2 billion trading loss by JPMorgan Chase & Co. as part of a hearing on implementation of the financial reform law.
The committee's chairman, Sen. Tim Johnson (D-S.D.), made the announcement Monday, but he did not commit to a hearing specifically on the JPMorgan loss, as Sen. Bob Corker has requested.
Johnson said the trading loss would be a topic during one of several hearings in coming weeks looking at financial stability and implementation of the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act. Other issues to be addressed include the European economic situation and proposals to reform money market funds.
© 2012, Catholic Online. Distributed by NEWS CONSORTIUM.