A record high fine was paid by JPMorgan Chase & Co. to stop criminal investigation. It cost the bank $13 billion to end U.S. probes of its mortgage-bond sales, which would free the nation’s largest bank from mounting civil disputes with the government while leaving a criminal inquiry unresolved. The US Department of Justice and the bank’s governing body could manage to reach an agreement; this time it will be the biggest material considerations the country’s government ever got. The deal states that JPMorgan may face criminal charges, a factor that had been a major sticking point in the discussions. The sides have not been decisive to reach an agreement for a long period of time, thus the deal has not been ready. However, Attorney General Eric Holder and JPMorgan Chief Executive Jamie Dimon spoke on the phone at night to finalize the broad outlines of the broad deal. Earlier, JPMorgan was said to be ready to pay $4 billion fine to fulfill the claims of the FHFA. According to the sources, that agreement is expected to be part of the larger $13 billion settlement. However, both have not issued official comments. It should be noted that JPMorgan got such a fine for frauds with securities, insured by mortgages, as the result, the bank’s clients suffered substantial losses. Now the watchdog at the FHFA plans to get more than $6 billion from Bank of America.
