Poll: Should Jamie Dimon of JPMorgan Chase Go to Jail for $2 Billion Loss?

Chairman/CEO of one of the nation’s biggest banks is under fire by investors, faces FBI probe.

When a bank is robbed, the FBI swoops in.  When a major bank loses $2 billion, other agencies take the lead. But in the case of Jamie Dimon and JPMorgan Chase, the FBI is investigating there as well in the wake of its stunning loss, which has triggered investor lawsuits. Bank regulation remains a contentious issue, but what about criminal liability?  Should CEO and Chairman of the Board Dimon be brought up on charges?  Should he and other bank executives face jail terms?

Komfort May 18, 2012 at 01:23 AM
Libi Uremovic May 18, 2012 at 02:50 AM
he would be executed in other parts of the world
James Jones May 18, 2012 at 04:43 AM
Hahahahahaha! Nicely played.............
Dave Fenner May 18, 2012 at 01:42 PM
Federal government loses way more than two billion dollars a day. Who is going to be charged? Where is the investigation?
Mary May 18, 2012 at 02:46 PM
Are you all talking about the National Debt increase when you are talking about Obama? If so remember where most of that increase comes from, it is from the interest payments due on the borrowing the U.S. spent to fund two wars that Obama didn’t start, tax breaks for the ultra-rich that Obama has been trying to end, and the prescription drug bill that George W sponsored.
whatiknow May 18, 2012 at 03:39 PM
Who bailed out Wall Street?? Those of you who worship the private sector have short memories. The private model fails without government regulation and support.
Mary May 18, 2012 at 03:53 PM
The Troubled Asset Relief Program (TARP) was a program of the United States government to purchase assets and equity from financial institutions to strengthen its financial sector that was signed into law by U.S. President GEORGE W. BUSH on October 3, 2008. It was a component of the government's measures in 2008 to address the subprime mortgage crisis.
Jay Berman May 18, 2012 at 03:54 PM
Absolutely not .... it is not illegal for a business to suffer a loss ... The person who did these trades should be fired .... the feds should not even be involved in trading losses. Bring back the Glass / Stiegal Act ... These banks are too big, Banks should pick what business they want to be in .. commercial / retail banking, Investment banking, no bank should be involved with insurance ... No bank should have huge marketshare ... limits competition ...
Kevin George May 18, 2012 at 04:47 PM
They're not investigating a business loss, they are investigating fraud. They accuse him of delaying the announcement as part of a fraudulent scheme to prop up JPMorgan stock between early April, when investors first learned about the “London Whale” roiling derivatives markets, and May 10, when Dimon first disclosed the loss. I am as pro-business as you can get, but he's crook and should have been in jail a long time ago.
Mary May 18, 2012 at 05:01 PM
I would like to wait for the results of the government investigation to see if the company followed all the regulations required by the Dodd–Frank Wall Street Reform and Consumer Protection Act. Dodd-Frank implemented financial regulatory reform and was passed as a response to the late-2000s recession, and contained the most significant changes to financial regulation in the U.S. since the Glass-Steagall Act regulatory reform of 1933 that followed the Great Depression. If the company did follow all the regulations and this fell thru the cracks, then maybe additional legislation is need to protect the consumers. I think it will be a long time coming if the Republicans remain in the majority in the House, as their mantra seems to be “repeal Dodd-Frank.”
Jay Berman May 18, 2012 at 05:04 PM
Repeal Dodd-Frank ... 2 of the most corrupt fools in congress .... implement some sort of revised Glass-Steagal Act .. It worked ...
Mary May 18, 2012 at 05:34 PM
Chris Dodd is no longer a Senator and Barney Frank is retiring after this congressional term. Please be specific about the Dodd-Frank Act, what particular portions are bad and why? Banking and investing has evolved since the 1930 and our regulations needed to address those changes. I've read some of Dodd-Frank and the original Glass-Steagal and find the intent of both on the same path.
Things I Learned May 18, 2012 at 06:05 PM
"I think there's growing understanding of how terrible this law really is," says The Economist's Tom Easton of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010." http://www.youtube.com/watch?v=348WAJ5XEPM "Regulators have written only 185 of the expected 400 rules. But those 185 rules are expected to cost the private sector more than 24 million man-hours each year to comply. The tracker has also found that those 185 rules take up more than 5,300 pages. Texas Republican Rep. Randy Neugebauer, the chairman of the committee’s subcommittee on oversight and investigations, told The Daily Caller that means that instead of hiring people to handle small business loans, banks will be hiring staff to comply with the new government regulations, ultimately having a negative impact on job creation. “For example, let’s just get it down to the community banker — the person that loans money to most of the small businesses in our country,” Neugebauer said in a phone interview. “We’ve had a few community bankers come in here and say, ‘you know, they’re hiring a lot more compliance officer than they are loan officers.’ That is increasing the cost of banking and, ultimately, they have to charge higher interest rates and higher fees.” http://dailycaller.com/2012/04/16/committee-dodd-frank-compliance-to-cost-private-sector-24-million-man-hours-per-year/
David B Secor May 18, 2012 at 07:12 PM
If your representatives do not support reinstating the Glass-Steagall Act ( and the vast majority in both parties do not), your representatives are crooks. The thousands of pages of Dodd-Frank are a joke, as the JPMorgan fiasco clearly illustrates. Glass-Steagall was 37 pages and clearly separated commercial banks, investment banks and insurance companies, and made too-big-to-fail impossible. That's why Clinton, Greenspan and friends repealed it! The too-big-to-fail "banks" continue to operate as they did before the 2008 crash. It's business as usual for them. If your representative does not actively work to reinstate Glass-Steagall, which prevented crashes for 70 years, he/she needs to go. We've seen what just 9 years of no regulation can do. The 2008 crash was a bi-partisan action. Neither party machine will move because they are bought and paid for. My party does not endorse me for that very reason. I will not ever take a contribution over $100. I will actively press for reinstatement of Glass-Steagall by forming a bi-partisan caucus dedicated to that purpose. We will make it such a high visibility issue that the rest of Congress will be unable to defend the repeal and, with pressure from their constituents, will "evolve" to a new position calling for reinstatement. The banksters and corporatists call the shots right now. That can change starting in November if those with the ultimate power, The People, exercise their power.
David B Secor May 18, 2012 at 07:15 PM
PS. We don't need thousands of pages of NEW regulations that everyone is crying about. If Glass-Steagall is reinstated, Dodd-Frank can be thrown in the trash where it belongs.
Harry Jones May 18, 2012 at 07:26 PM
I'm undecided as of now. Let's see what investigators find, then look at facts before judging. We're (Americans) always to quick to judge. Look at the case in Florida. Maybe we were to quick there. Let Justice sys work them out. If we can keep current administration & their justice department out of it. Maybe the 99%er's too. Just wondering too, since President Obama seem to be going a little softer on banks now because he wants their donations did the 2 billion go to his re-election fund. Just a idea.
Smokestack34 May 18, 2012 at 08:14 PM
Very few at the top ever go to jail. The legals find someone else to blame, some lesser down the ladder. Two billion is a drop in the bucket compared to Chase's over one trillion in assets. Maybe the largest bank in the world. With all the investments going on in any one day, a bad one has to sneak in every once in a while.
Ned May 19, 2012 at 02:07 PM
A bigger question would be; Why are us taxpayers insuring risky investment banking practices still? We need to repeal the Grahm-Leach-Bliley Act and reinstate the Glass-Stegall Act. Separate investment and real estate banking from depositor banking. They are merged now, they gamble and lose, they put the depositors (you and me) at risk, and then they get bailed out to protect depositors. It's a racket. Let them gamble with investor's money and not ours! At least enact the Volker Rule.
David B Secor May 19, 2012 at 03:10 PM
Only reinstating the bulletproff Glass-Steagall Act can set our economy on a viable course. The worthless Dodd-Frank Bill, and other "economic reform" bills, is a sham by legislators and the administration to make the public think they are doing something. Reinstating GS, the simplest and most effective thing to do, is to them like sunlight is to a vampire. That's why it MUST be done.
Mary May 19, 2012 at 03:33 PM
The Volcker Rule IS A SPECIFIC SECTION of the Dodd–Frank Wall Street Reform and Consumer Protection Act that restricts United States banks from making certain kinds of speculative investments that do not benefit their customers. The rule's provisions are scheduled to be implemented as a part of Dodd-Frank on July 21, 2012.
David B Secor May 19, 2012 at 04:46 PM
Volker Rule has already been watered down. Paul Volker himself acknowledges that.
john keltner May 20, 2012 at 08:05 AM
As most of you know our govt is printing money as if it were paper ... they call this policy Quantitative Easing. Here is a good video explanation of Quantitative Easing: http://www.youtube.com/watch?v=ohKQP_wSO9k Banks view loaning money to people/business is more risky and less profitable than investing in schemes like this - indexes, etc. Through Q.E., the Fed is exchanging CASH for toxic assets - i.e. giving banks free money to loan to US - and yet as this example proves - they're using that money to invest in more crap that WE THE PEOPLE will pay for in the long-run - either through Bail-Outs, Stock market losses (have you checked your mutual funds lately) or inflation (Q.E.). My vote - Hang the bastard!
Lynn Marr May 23, 2012 at 03:58 PM
Teddy Roosevelt was a "trust buster." We've watered down our laws so much, thanks to corporate lobbyists and greedy lawyers who write laws full of loopholes. Still, I agree with the poster, here, who feels that Jamie Dimon is guilty of fraud. The FBI should investigate him for that. Perhaps a Special Prosecutor is in order. I do support Obama, but it's true, he has not required true reform for the bailouts. That seemed like a perfect opportunity to demand that. The Securities and Exchange Commission seems almost worthless in "self regulating," a joke!
Lynn Marr May 23, 2012 at 04:01 PM
Plus, I feel our Federal Reserves Bank is corrupt; it has the authority to print money, to drastically affect our economy, but it is not under government control; rather, it seems to control our government through the economy! I do agree with Ron Paul's desire to disband the Federal Reserve, but not government involvement in a system of national healthcare, as a "last resort" single care provider. Also, I feel the Federal government must be active in advocating for our nation's environmental health, through strengthening, not weakening the EPA.
David B Secor May 23, 2012 at 06:48 PM
The Federal Reserve, which is INDEPENDENT from government manipulation so that it cannot be manipulated for short-term political gain by either party, has only two issues to address - unemployment and wage inflation. Notice I did not say price inflation. This is critically important. Price inflation is controlled by market forces and is NOT in the purview of the Fed. While the Fed (headed by Bernanke, a Republican) did hand out nearly $17 trillion to Too-Big-To-Fails, wealthy individuals and financial institutions in Europe and elsewhere during the initial stages of the financial crisis, the Fed determined this was necessary to prevent a worldwide financial meltdown. Such an event would most certainly have meant a Depression with a capital "D." Unemployment, one of the Fed's mandates, would have skyrocketed well beyond the numbers we have been enduring in this deep recession thus far. Thus, it had no choice but to inject liquidity and avoid a real crash. Whether $17 trillion was necessary, and whether all institutions, who received funds needed the capital, is certainly open to debate. But the critical factor was that the injection could NOT be too little, as that would have meant worldwide economic collapse. Since the obvious firewall that is the Glass-Steagall Act was no longer in place, the fraud conducted by Wall Street that caused the crash, this massive infusion of cash, shocking as it was, was absolutely necessary. As to wage inflation . . .
David B Secor May 23, 2012 at 07:11 PM
As to WAGE inflation, the Fed's other mandate, the numbers show this is in no way a problem. Wages for workers in most parts of the economy have shown DOWNWARD pressure, not upward. This is due to lack of demand for goods and services in our economy which is based (70%) on consumption. Depressed wages - half of Americans now earn $25k/yr and 3/4 of us make under $54k/yr - means we cannot afford to spend, which would boost the economy. Most Americans must spend only on necessities, and our limited resources mean shopping at Wal-Mart instead of supporting local small businesses. In actuality, the Fed has set it's target of 2% wage inflation too LOW in this time of deep recession. The WAGE inflation target should be raised to 4% during this time of economic downturn. Financial institutions are sitting on $2 trillion in CASH and refuse to make loans because there is not enough demand for there products to hire. Only higher wages, and thus disposable income, will bring demand back, so that companies and small businesses will hire again, and set us on a path of growth. Big banks are sitting on $1.5 trillion in cash and don't make loans to us because the big banks STIll make more money on complicated financial deals, swaps, etc. than they would make if they loaned to you. It's the same scenario as it was before the crash! The 5000(and growing) pages of Dodd-Frank are a total joke. Glass-Steagall is 37 pages, bulletproof, and needs reinstatement NOW!
Mary May 23, 2012 at 07:28 PM
How or who is going to introduce Glass-Steagall Act? We know the Republican House is not going to do it and it will never get past them. I say try to strengthen the Volcker Rule section of Dodd–Frank or ensure that Democratic candidates retake the House. I don’t think retaking the House is an option, but we can hope. If they can hang onto the Senate we will continue to have this stalemate.
Jay Berman May 23, 2012 at 07:38 PM
The democrats were responsible for this mess. Dodd and Frank are two bufoon career hacks who have no business writing anything like the act named for them. The newly elected democratic house and senate were warned 17 times by the Bush administration and others of the impending disaster and they kept accelerating the bad loans, forcing Freddie and Fannie along with banks to make these loans so the "poor" can have houses too ... http://www.youtube.com/watch?v=cMnSp4qEXNM let's not let the facts get in the way ...
Things I Learned May 23, 2012 at 08:02 PM
Lynn Marr May 23, 2012 at 11:23 PM
Thanks, David. Your explanation makes a lot of sense to me, although I still question that the Federal Reserve is not regulated by any oversight group. From what you suggest, I agree, we should reinstate Glass-Steagall. How I hope that Obama can get re-elected, and make that happen! I see no hope with Romney, but yes, both Democrats and Republicans seem tied into the corrupt status quo right now!


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