2. JP Morgan is a criminal organization as more and more evidence comes to the limelight but they got away with paying taxpayer sponsered fines. As you can see below it does not matter what party the guys are from REP or DEM they seem to be all ready to have them bribed if the price is right. So the same polticians who make the laws to defend the interest of the people are the ones who are involved in this filth starting with Barney Frank down to a local guy as Wallstreet let them have their share of their robberies. This is just the tip of the iceberg not an exception to the rule if they might be inclined to make you believe.
JPMorgan Arranging Alabama Swaps Provided Payoffs, SEC Shows
By William Selway and Martin Z. Braun
Nov. 5 (Bloomberg) -- JPMorgan Chase & Co.’s Charles LeCroy explained to a colleague in 2003 how he planned to keep his job as the chief bond banker to Jefferson County, Alabama.
“I got to get the politics lined up,” he said, according to a complaint filed by the Securities and Exchange Commission yesterday. “And, of course, we have to pick the partners who are going to get free money from us this time.”
Jefferson County was a money mill to JPMorgan as politicians refinanced $3 billion of debt with a combination of floating-rate bonds and interest-rate swaps that last year pushed it toward bankruptcy. According to the SEC, LeCroy and Douglas MacFaddin, head of JPMorgan’s municipal derivatives unit from 2001 to 2008, paid more than $8 million to politically connected firms to secure its role in the deals.
The complaint provides a window into how New York-based JPMorgan, the second-largest U.S. bank by assets, used fees on the unregulated derivative contracts -- and a trip to a New York spa for one elected official -- to curry political favor, a decade after the SEC adopted rules to drive out pay-to-play from the $2.8 trillion municipal bond market.
“J.P. Morgan is pleased to have reached a settlement with the SEC in connection with its investigation of Jefferson County,” the bank said in statement sent by spokesman Brian Marchiony. “The charges relate principally to municipal derivatives transactions that occurred six and seven years ago. J.P. Morgan has since discontinued that business, and the employees in question are no longer employed by the firm.”
Larry Langford, the Democrat who was once president of the Jefferson County Commission and Birmingham mayor, was convicted last week for accepting $235,000 in designer clothes, Rolex watches and cash from William Blount, an Alabama banker. JPMorgan paid Blount $2.8 million, according to the SEC complaint.