HindustanTimes Sat,19 Apr 2014

JPMorgan in $13 bn deal on US, states mortgage complaints

AFP  Washington, November 20, 2013
First Published: 01:22 IST(20/11/2013) | Last Updated: 01:23 IST(20/11/2013)

JPMorgan Chase has agreed to a $13 billion deal to settle complaints over mortgages and mortgage securities by the US government and several states, the New York attorney general said Tuesday.


The deal includes $9 billion in payments to authorities and $4 billion in consumer relief, state Attorney General Eric Schneiderman said.

The announcement resolves a major part of a series of complaints against the bank over misstating the quality of mortgages and mortgage securities it sold ahead of the financial crisis, and complaints of mishandling the mortgages of millions of homeowners.

"This historic deal, which will bring long-overdue relief to homeowners around the country and across New York, is exactly what our working group was created to do," said Schneiderman, co-chair of the multi-state Residential Mortgage-Back Securities Working Group.

"We refused to allow systemic frauds that harmed so many New York homeowners and investors to simply be forgotten," he said in a press conference.

"And as a result we've won a major victory today in the fight to hold those who caused the financial crisis accountable."

more from Business

700 trainees opt for exit plan at Nokia’s Chennai plant

Finnish handset maker Nokia, struggling to shepherd its Chennai plant into its agreement to be bought by US software giant Microsoft amid tax disputes in India, has got some success with 736 of its trainees accepting the voluntary separation scheme.
Most Popular
Copyright © 2014 HT Media Limited. All Rights Reserved