Investigations into JPMorgan end in $13 billion settlement

JPMORGAN Chase and the Department of Justice have tentatively agreed to a $13 billion civil settlement to resolve several investigations into the bank's mortgage securities business, according to a U.S. official familiar with the negotiations.

Mortgage-backed securities and related derivatives were a key cause of the financial crisis, saddling financial institutions with losses as the housing market cratered. If completed, the settlement would be substantially larger than any law enforcement officials have secured from a single institution in connection with the crisis.

The settlement includes $9 billion in fines and penalties and $4 billion in 'consumer relief,' including home loan modifications, the official said.

A federal criminal investigation based in Sacramento continues, and the deal does not include a non-prosecution agreement that JPMorgan Chase (JPM, Fortune 500) had originally insisted be part of the deal, the official said.

As the criminal case develops, JPMorgan Chase has agreed to assist in an investigation that is pursuing possible charges against individuals, the official told CNN.


Diving in deeper at Renew Fest

Diving in deeper at Renew Fest

Presenters and speakers wantewd for sustainability festival

Rams back-to-back titles

Rams back-to-back titles

Youth league win for Byron

12m high sculpture takes locals by surprise

12m high sculpture takes locals by surprise

"Byron Bay has a big silver dildo in the middle of the roundabout"

Local Partners