Witness steps forward in J.P. Morgan mortgage securities investigation

Cooperator could potentially be used as leverage by the DOJ for a more favorable settlement

While JPMorgan is still in talks with the Department of Justice, talks that could end numerous probes, one employee is said to be cooperating fully with investigations into residential mortgage-backed securities that the company issued prior to the financial crisis. This is reportedly the first cooperator to step forward in the investigation.

The employee claims she alerted her supervisors that they were overstating the value of these securities. According to the Bloomberg, the DOJ has documents that confirm J.P. Morgan was aware of this discrepancy.  Currently, the witness has not been identified.

Executive Editor

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Chris DiMarco

Chris DiMarco, Executive Editor of InsideCounsel magazine, has a background in multimedia production with previous involvement in projects in which he developed and created content...

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