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Oct 10, 2013

Brothers to pay $5 mln to settle Heinz insider-trading charges

WASHINGTON, Oct 10 (Reuters) – Two brothers from Brazil will
pay $5 million to settle civil charges that they reaped $1.8
million in illegal profits by trading ahead of an announcement
that Berkshire Hathaway Inc and 3G Capital planned to
acquire ketchup-maker H.J. Heinz, the U.S. Securities and
Exchange Commission said on Thursday.

Earlier this year, the SEC froze their assets in a
Swiss-based account after detecting suspicious options trading
before the $28 billion deal was announced. At the time, their
identities were unknown.

Oct 4, 2013

Email, undisclosed in SAC trader’s case, could help defense: sources

NEW YORK (Reuters) – In the coming trial of a SAC Capital Advisors hedge fund portfolio manager, Michael Steinberg, prosecutors are likely to present emails purporting to show he was being tipped about inside information on Dell Inc before trading on the stock.

But two people familiar with the matter said there are some emails that prosecutors have not included in court filings that could be helpful to Steinberg’s defense that he did not engage in insider trading in August 2008 at SAC, founded by Steven A. Cohen, one of Wall Street’s most successful hedge fund managers.

Oct 2, 2013

FBI shuts alleged online drug marketplace Silk Road

NEW YORK (Reuters) – U.S. law enforcement authorities have shut down Silk Road, the web marketplace for illegal drugs like heroin and cocaine as well as criminal activities including murder for hire, and arrested its alleged owner, the Federal Bureau of Investigation said on Wednesday.

The FBI arrested Silk Road owner Ross William Ulbricht, 29, known as “Dread Pirate Roberts,” in San Francisco on Tuesday, according to court filings.

Sep 30, 2013

Exclusive: JPMorgan settlement complicated by Washington Mutual – sources

NEW YORK (Reuters) – JPMorgan Chase & Co’s possible $11 billion settlement of government mortgage probes has been complicated by a dispute with the Federal Deposit Insurance Corp over responsibility for losses at the former Washington Mutual Inc, said people familiar with the matter.

The dispute, between the largest U.S. bank and the FDIC, could leave the federal agency on the hook for billions the bank is expected to pay as part of the settlement and substantially reduce the amount of the penalty JPMorgan actually pays to the government, some analysts said.

Sep 30, 2013

JPMorgan settlement complicated by Washington Mutual -sources

NEW YORK, Sept 30 (Reuters) – JPMorgan Chase & Co’s possible
$11 billion settlement of government mortgage probes has been
complicated by a dispute with the Federal Deposit Insurance Corp
over responsibility for losses at the former Washington Mutual
Inc, said people familiar with the matter.

The dispute, between the largest U.S. bank and the FDIC,
could leave the federal agency on the hook for billions the bank
is expected to pay as part of the settlement and substantially
reduce the amount of the penalty JPMorgan actually pays
to the government, some analysts said.

Sep 25, 2013

Cohen’s SAC Capital up 13 pct for year – source

NEW YORK, Sept 25 (Reuters) – Steven A. Cohen’s SAC Capital
Advisors hedge fund has posted strong returns so far this year
even as it deals with a criminal indictment charging the $14
billion fund with being a breeding ground for insider trading.

A source familiar with the firm said Cohen’s fund was up
about 13 percent this year as of last Friday and has had a
particularly good September.

Sep 23, 2013

U.S. government to sue JPMorgan in mortgage case: sources

By Aruna Viswanatha and Emily Flitter

(Reuters) – The U.S. Justice Department is preparing to sue JPMorgan Chase & Co over mortgage bonds it sold in the run-up to the financial crisis, a sign the bank’s legal troubles are not yet behind it.

A lawsuit could come as early as Tuesday, people familiar with the matter said on Monday.

Sep 20, 2013

Scandals cost JPMorgan $1 billion in fines

Sept 19 (Reuters) – It’s $1 billion in payouts that JPMorgan
Chase & Co most likely wants to forget.

In agreements with regulators totaling $1 billion and made
public on Thursday, the nation’s biggest bank settled four civil
investigations into its “London Whale” trading scandal and two
more into the wrongful billing of credit-card customers.

Sep 20, 2013

JPM’s Whale deal with regulators leaves much unsettled

Sept 19 (Reuters) – The “London Whale” trading scandal, once
dismissed as a “tempest in a teapot” by JPMorgan Chase & Co
CEO Jamie Dimon, is costing the largest U.S. bank $920
million in penalties and a rare public admission of wrongdoing.

Settlements with four U.S. and British regulators, made
public on Thursday, resolve the biggest civil probes of the
bank’s $6.2 billion of Whale derivatives trading losses last
year. Criminal investigations are still under way.

Sep 19, 2013

Whale scandal costs JPMorgan $920 million in fines

By David Henry and Emily Flitter

(Reuters) – The “London Whale” trading scandal, once dismissed as a “tempest in a teapot” by JPMorgan Chase & Co (JPM.N: Quote, Profile, Research) CEO Jamie Dimon, is costing the largest U.S. bank $920 million in penalties and a rare admission of wrongdoing.

Settlements with four U.S. and British regulators, made public on Thursday, resolve the biggest civil probes of the bank’s $6.2 billion of derivatives trading losses last year. Citations against JPMorgan include poor risk controls and failure to inform regulators about deficiencies in risk management identified by bank management.

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      "Based in New York covering financial crimes, including insider trading, investment scams, accounting fraud and financial firm misconduct."
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