Jamie Dimon’s Company Fined $88.3 Million for Trading with the Enemy

That’s not the technical term for violating economic sanctions against Cuba, Sudan, Iran, and Liberia (and FWIW I think the sanctions against Cuba are stupid).

Nevertheless, that’s basically what the sanctions JP Morgan Chase just admitted to violating amount to.

The big dollar amounts involve $178.5 million in wire transfers with Cubans.

JPMC processed 1,711 wire transfers totaling approximately $178.5 million between December 12, 2005, and March 31, 2006, involving Cuban persons in apparent violation of the CACR.

But the more interesting violation came when JPMC refused to turn over some documents relating to Khartoum until the government told the bank they knew JPMC had the documents.

The apparent violation of the RPPR occurred between November 8, 2010, and March 1, 2011. On October 13, 2010, OFAC issued JPMC an administrative subpoena pursuant to section 501.602 of the RPPR directing JPMC to provide certain specified documents related to a specific wire transfer referencing “Khartoum.” In response to this subpoena and a subsequent communication, JPMC compliance management failed to produce several responsive documents in JPMC’s possession, and repeatedly stated that JPMC had no additional responsive documents. OFAC ultimately provided JPMC with a list of multiple responsive documents that OFAC had reason to believe were in JPMC’s possession based on communications with a third-party financial institution. This prompted JPMC to correct its prior statements that the bank possessed no additional responsive documents and to produce more than 20 responsive documents. JPMC did not voluntarily self-disclose the apparent violation of the RPPR to OFAC. The base penalty for this apparent violation was $250,000.

And in spite of that apparent obstruction, TurboTax Timmeh Geithner’s agency still treated Jamie Dimon’s disloyal company leniently because of what they called JPMC’s “substantial cooperation.”

OFAC mitigated the total potential penalty based on JPMC’s substantial cooperation,

According to Bloomberg’s count, the Fed lent this disloyal company $68.6B after banksters like Jamie Dimon crashed the economy.

During and after the period JPMC took that money, it financed trade with Iran, tried to hide the Khartoum deal, and financed more trade with Sudan (though it sent money to Cuba and sent Iran 32,000 ounces of gold, now worth $55 million, before taking our money, in 2006). Some of this trading with the enemy was reported internally to “JPMC management and supervisory personnel;” at least some of this wasn’t the work of rogue employees.

This is the kind of MOTU that Obama considers an ally.

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23 Responses to Jamie Dimon’s Company Fined $88.3 Million for Trading with the Enemy

Emptywheel Twitterverse
JimWhiteGNV RT @TheTweetOfGod: The people who say I send viruses and disasters as a means to punish you for your sins, are the means by which I punish …
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emptywheel @astepanovich Gonna keep nagging you, you know...
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bmaz @trevortimm @ncardozo Could do a LOT worse. For instance, @stewartbaker once served in government.
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bmaz @donachaidh Lol yes!
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emptywheel @astepanovich Hey, did you sign up for frequent flier miles yet?
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bmaz The hyperbole being engaged in by the relentless @ggreenwald haters is light years more ridiculous than any potential hyperbole by Glenn.
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bmaz @wellsbennett @steve_vladeck If so, wouldn't you expect some quick attempt to correct the record?
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emptywheel @sbagen Maybe MI's football team would be better if fans didn't use racist epithets? @DevG98 @forthewin
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emptywheel @pwnallthethings What terrorist org known for its financial resourcefulness hacks brokers but doesn't try and steal anything silently?
18mreplyretweetfavorite
emptywheel @kansasalps "Exploited." Because democracy. @ashk4n
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emptywheel Also, I'd like to see a tech-off between "this fella" (@ashk4n) and Michael Hayden. http://t.co/BdDhiGvCIF
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emptywheel @kansasalps Wow. When govt arguable engaged in criminal obstruction to over up Hayden's own crimes. @ashk4n
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August 2011
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