The HillTube

Bank chief: We were 'sloppy,' 'stupid'

JP Morgan Chase was "sloppy" and "stupid" in making moves that resulted in a $2 billion loss, according to bank chairman Jamie Dimon.

In a taped interview with NBC's "Meet the Press," Dimon acknowledged the nation's largest bank erred in making trades that cost it billions of dollars in just six weeks.

"We know were sloppy. We know we were stupid. We know there was bad judgment," he said.

ADVERTISEMENT
He added that the firm's own audit, legal and other compliance employees were dissecting the trade and welcomed regulators who plan to examine the deals as well for any potential wrongdoing.

"We are totally open to regulators, and they will come to their own conclusions," he said. "We intend to fix it and learn from it and be a better company when it's done."

JP Morgan rocked the financial world Thursday when Dimon announced that a series of moves made by a London trader resulted in a $2 billion loss, which could climb to $3 billion when all is said and done.

The Securities and Exchange Commission is reportedly examining the trades for any potential wrongdoing. The New York Times reported that a preliminary investigation had been opened and will probably examine past regulatory filings about the unit that made the trades, as well as comments made by top executives in the months leading up to the losses. 

The SEC also could be examining how the firm handled accounting for the trades. The report noted that no one at JP Morgan had been accused of wrongdoing at this point.

The disclosure shook Wall Street, and reverberations were felt in Washington as backers of financial reform used the news to renew their push for tougher curbs on risky financial moves.

More in Banking/Financial Institutions

Ex-Im chief lashes back at bank’s critics

Read more »