U.S. agency sues JPMorgan over WaMu mortgage bonds
WASHINGTON (AP) - Federal regulators have sued JPMorgan Chase & Co. over the sale of mortgage securities that contributed to the collapse of three credit unions.
The National Credit Union Administration's lawsuit alleges that Washington Mutual Bank gave a false picture of $2.2 billion in risky mortgage securities it sold to the three wholesale credit unions. JPMorgan acquired the failed Washington Mutual in 2008.
The agency says in the lawsuit filed Friday in federal court in Kansas that Washington Mutual misrepresented how risky the securities were and omitted key facts in sales documents.
It was the agency's third lawsuit against JPMorgan over losses from mortgage securities. It has also sued other major banks including Barclays, Goldman Sachs and Credit Suisse.
JPMorgan spokesman Joseph Evangelisti declined comment.
The National Credit Union Administration's lawsuit alleges that Washington Mutual Bank gave a false picture of $2.2 billion in risky mortgage securities it sold to the three wholesale credit unions. JPMorgan acquired the failed Washington Mutual in 2008.
The agency says in the lawsuit filed Friday in federal court in Kansas that Washington Mutual misrepresented how risky the securities were and omitted key facts in sales documents.
It was the agency's third lawsuit against JPMorgan over losses from mortgage securities. It has also sued other major banks including Barclays, Goldman Sachs and Credit Suisse.
JPMorgan spokesman Joseph Evangelisti declined comment.
Stocks and bonds are nothing but legalized gambling and JP Morgan and the rest are loading the deck to rip us off. They all should be busted and busted hard. Some to the point of having to sell off some of their assets to pay for the fines. The fines should be funneled back into the pockets of the people that were scammed out of their money in the first place. The stocks and bonds industry has degenerated into a "who can stab you in the back first" mob and they need to be taught a lesson.
JP Morgans is the good example of the American "GREED",they ripped the people off
like those robbers and they all got license !!!!
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Still no mention of JP Morgans short selling of silver? They were leveraged 9 to 1 at one point. Still nobody talking about it? How about their fractional reserve lending practices?Â
 @Dredd57 While I can't comment on the why (Wait, I guess I can), it is refreshing to see someone paying attention Dredd at precisely where the CFTC refuses to go. Well done.