7/13/12, "JPM Admits CIO (Chief Investment Office) Group Consistently Mismarked Hundreds Of Billions In CDS (Credit Default Swaps) In Effort To Artificially Boost Profits," Zero Hedge
"In other words, we have just discovered that the two key components of the entire CDS market: the LIBOR base and market "marks" have been bogus at best, and realistically, fraud. And one wonders why no bank ever will let CDS trade on an exchange."...
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7/13/12, "JPMorgan Chase raises its recent trading loss to $4.4bn," BBC
"JPMorgan Chase has raised its estimate of the amount it lost in a recent trading error to $4.4bn (£2.8bn). When it first announced the loss from its chief investment office in May, it said it had lost at least $2bn.
Even after those losses, the bank has reported three-month net profit of $4.96bn, down from $5.43bn in the same period last year. It said it would restate its results from the previous three months because it had made $459m less than it thought.
Chief executive Jamie Dimon said he had closed the division of the bank responsible for the losses and moved the remainder of the trading position to its investment banking division.
The executive in charge of the closed division, Ina Drew, left the bank in May, days after the losses were announced.
The Wall Street Journal is reporting that three other employees have left the bank following the trading blunders, including Bruno Iksil, who is known as the London whale.
JPMorgan has lost about 15% of its market value since the losses were first announced."...
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