Saturday, March 23, 2013

Whale...

"The U.S. Department of Justice is in the advanced stages of an investigation into whether former traders in JPMorgan Chase's chief investment office in London engaged in criminal misconduct in the marking of credit positions last year, according to someone familiar with the matter.

The Justice Department probe centers on whether a handful of individual traders deliberately mis marked certain complex credit positions in an effort to mask the growing losses in a key CIO portfolio during the spring of 2012, according to this person.

That portfolio, whose positions in complex corporate-credit securities eventually went badly awry, costing the bank more than $6 billion, eventually took on the nickname "London Whale" because of its geographic origin and size."

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