Public Pension Funds Named to Lead ‘London Whale’ Class Action Lawsuit Against JPM

Bloomberg reports US District Judge George Daniels ruled Wednesday that lawsuits against JP Morgan Chase for losses related to JPM’s ‘London Whale’ ICD 9 hedge gone wrong will be consolidated into a class-action suit.

But Jamie informed us just last week that ‘the London Whale issue is dead. The Whale has been harpooned. Dessicated. Cremated.‘ !!!
Oops.
Public pension funds from Arkansas, Ohio, Oregon and Sweden will be lead plaintiffs in a group lawsuit against JPMorgan Chase & Co. (JPM) over trades made by Bruno Iksil, known as the “London Whale.”
U.S. District Judge George Daniels in Manhattan ruled today that lawsuits against the New York-based bank should be consolidated into a class action. The pension funds allege they lost as much as $52 million because of fraudulent activities by JPMorgan’s London chief investment office.

The lead plaintiffs named by Daniels are the Arkansas Teacher Retirement System, Ohio Public Employee Retirement System, School Employees Retirement System of Ohio, State Teachers Retirement System of Ohio, Oregon Public Employee Retirement Fund and the Swedish pension fund Sjunde AP-Fonden.
Read More:

Comments

  1. Gata’s Bill Murphy said they where done!! They are more likely going down slowly, but surely and this is why Silver and Gold are going up!! Some information going down that the gig is up for some and not all. There will be some fall guys. 

  2. Worse case they get a fine they pay out of petty cash.  Though going Class Action does bring in RICO possibilities.  Could be interesting.  But, considering the past criminal behavior that has gone unpunished, I am not expecting much to come of the lawsuit.

  3. Beware exploding whales!!
     

    The video cannot be shown at the moment. Please try again later.

  4. The question is whether it will be more expensive to lose the law suit, or cover their short position with silver and get out of the silver market. It would seem to try to do both may be more than even JPM can afford. It appears JPM is in the precarious position of being between a rock and a hard spot.

  5. JPM is so deep into the derivative market it makes their silver position tiny. I see more and more lawsuits coming and most getting swept under the rug because the current government is in league with the bankers.

  6. “JPM is so deep into the derivative market it makes their silver position tiny.”
     
    Yes but no, it’s collateral in the(ir) end-game. So the tinyness will have to get blown up to whale proportions. That’s the most important reason why I like silver so much. They are custodian and the derivs are going to zero. That will be the point I think when the paper market breaks and after a deep flash crash there will emerge a de facto physical market at much much higher prices. And it will prove to be trustworthy. Can you say Hong Kong?

  7. “But Jamie informed us just last week that ‘the London Whale issue is dead. The Whale has been harpooned. Dessicated. Cremated.‘ !!!”

    Wait a second.  Isn’t this the very same Jamie who said that the London Whale episode was a “tempest in a tea pot”?  Yep, that would be him.  OK, so what credibility remains to this jokester bankster?   Do the terms, zip, nada, null, etc. come to mind?
     

Speak Your Mind