NEW YORK — Two former JPMorgan Chase & Co employees are facing criminal charges related to the trading scandal that cost the bank US$6.2-billion last year, but the trader who earned the nickname “the London Whale” and was at first most closely tied to the scandal is not one of them.
In fact, Bruno Iksil, who is cooperating with federal prosecutors, pushed back against the efforts of his former colleagues Javier Martin-Artajo and Julien Grout to hide the mounting losses, according to court filings.
Somewhat ironically, the "punishment" of Goldman and JPMorgan has boiled down to the punishment, or lack thereof, of two Frenchmen. On one hand, we have Fabrice Tourre, who we are led to believe (laughably so) was solely-responsible for all CDO-related transgressions at Goldman in the 2003-2007 period. On the other, we have the London Whale, former JPMorgan employee and also French citizen, Bruno Iksil who was the catalyst and public face, that led to the unwind of the biggest prop trading desk in history.
NEW YORK (Reuters) - The former JPMorgan Chase & Cotrader known as the "London Whale" was not responsible for Lehman Brothers Holdings Inc's bankruptcy and should not be dragged into an $8.6 billion lawsuit accusing the largest U.S. bank of causing it, JPMorgan said.