While reports earlier this week seemed to confirm that a settlement was on the way, it appears that talks between banking giant J.P. Morgan & Chase and the Department of Justice (DOJ) are on shaky ground. The bank hoped the talks would end investigations into the mortgage backed securities it sold running up to the great recession, but it appears the discussion could still be subject to breakdown. Once again the $13 billion settlement proposed Oct. 27 by JPMorgan is on the brink of collapse.
The sides are divided over the number of probes that the settlement should end, the protection from investigation the bank should receive, the responsibility it should bear, and the details of the payment. The rift could be too much ground to cover for an increasingly impatient DOJ.