Economy

Senate Committee Investigating JP Morgan’s $9 Billion ‘Fail Whale’ Trade

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The Senate Permanent Subcommittee on Investigations has begun a probe into JP Morgan Chase’s $9 billion “London Whale” trading loss, Reuters reports. The committee, chaired by Sen. Carl Levin (D-MI), is interviewing current and former JP Morgan employees about the failed trade, which shook the bank and renewed calls for a stronger financial regulations. Levin’s investigation will likely “focus on the risks the CIO’s trading activities posed to taxpayers, regardless of whether any of the activity is determined to be criminal,” according to the Reuters source. Levin’s previous investigation of Goldman Sachs in the wake of the financial crisis revealed the bank’s “shitty deals” and helped set the stage for the passage of the Dodd-Frank law.