Raw Story – by George ChidiJ.P. Morgan will settle civil lawsuits related to mortgage bond matters with the U.S. Department of Justice for a record $13 billion, sources have told Bloomberg, The Wall Street Journal and other outlets.
In a call last night, U.S. Attorney General Eric Holder and J.P. Morgan negotiators tentatively settled on terms after the bank offered an additional $2 billion, according to reports.
The payout is within the company’s reserves for legal settlements set aside out of profits this year, and represents about 14 of its gross profit over the last year. Notably, the deal does not obviate the continuing criminal investigation into the firm’s mortgage backed securities, which remains unresolved. J.P. Morgan posted a net loss Tuesday for the first time in years, attributing the loss to legal settlement costs. J.P. Morgan recently increased its legal settlement reserve by another $9.2 billion in anticipation of future losses. Together, the increase in reserve and the $13 billion settlement represent what the company might expect to earn in net profit in a decent year.
This is hardly a surprise. The name-sake of this company, J.P. Morgan himself, back in 1911, switched ships so he could sink one of them in order to get an insurance settlement. We know this “incident” as The Titanic, except it wasn’t the Titanic that was sunk, it was the sister ship, the Olympic.
So if J.P. himself would allow the deaths of hundreds of people in order to get his insurance payment, what else do you think his heirs and present day “workers” will do to f#ck over the public?? J.P. Morgan was a child from hell, and so are his off-spring and his company.
youtube: did the titanic really sink? 46 minutes of proof that cannot be disputed that The Titanic was not the ship that was purposely sunk.
A black guy robs a store of 20 bucks and gets 10 years in prison. Jamie Dimon robs 50 million home owners with fraudulent loans out of billions of dollars and puts them out in the street, he gets no time. JP Morgan probably profited 500 billion from the mortgage loan fiasco and their penalty is paying back 13 billion while Jamie boy smirks.
Just the cost of doing business.