WASHINGTON -- A key financial regulator said the investigation of the more than $2-billion trading loss at JPMorgan Chase & Co. has found the bank apparently has "serious risk management issues" that might go beyond the office responsible for the losses.
"We do believe as a preliminary matter that there are apparent serious risk management weaknesses at the bank," Comptroller of the Currency Thomas J. Curry told the House Financial Services Committee on Tuesday.
The Office of the Comptroller of the Currency is the main regulator for JPMorgan Chase's banking operations and is "continuing to examine the root causes for those failures and whether there are other weaknesses" outside the firm's chief investment office, which conducted the trades that led to the losses.
Curry was among five financial regulators testifying at a hearing about JPMorgan's trading loss. The bank's chief executive officer, Jamie Dimon, was set to testify after the regulators.