Congress asking Dimon the wrong questions

They may also have noted that JP Morgan was recently fined $20 million by the CFTC for violating customer segregation rules related to the Lehman Brothers bankruptcy and that the Financial Services Authority (FSA), the United Kingdom's financial regulator, had fined JP Morgan Securities £33.3 (pounds) in 2010 for failing to segregate client money from firm money.

Haar, a former MF Global customer who is out millions due to MF’s failure, prepared a more lengthy list of questions for both Dimon and Gensler . Haar called the hearings pathetic, adding, “[It] would have been more useful for these guys to have spent the time shining Dimon’s shoes instead.”

These hearings seemed like a good time—albeit belatedly—to get Dimon on the record regarding this. But perhaps these Congressmen where a little timid for some reason.

Representative Michael Grimm (R-NY) sent a letter signed by 64 Republican members of Congress on May 18 calling on Attorney General Eric Holder to name an independent counsel to investigate the MF Global situation and its former Chairman and CEO Jon Corzine. If he were truly interested in getting answers and helping the former MF Global customers be made whole instead of simply orchestrating a partisan political event, you would think that he would have asked some of those question of Jamie Dimon. Alas he did not.

About the Author
Daniel P. Collins

Editor-in-Chief of Futures Magazine, Daniel Collins is a 25-year veteran of the futures industry having worked on the trading floors of both the Chicago Board of Trade and Chicago Mercantile Exchange. Dan joined Futures in 2001 and in 2005 he was promoted to Managing Editor, responsible for overseeing all the content that went into Futures and futuresmag.com. Dan’s incisive reporting and no-holds barred commentary places him among the most recognized national media figures covering futures, derivative trading and alternative investments.

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