Shareholders Sue JPMorgan & CEO Jamie Dimon Over $2 Billion Loss

Late last night, two separate lawsuits were filed against JPMorgan Chase & Co and its Chief Operating Officer, Jamie Dimon, accusing the bank and its management of excessive risk that led to trading losses of at least $2 billion.

A spokesman for the bank declined to comment on the lawsuits, filed in U.S. District Court in Manhattan, says Reuters.

Meanwhile yesterday, at the bank’s annual meeting, Dimon also faced JPMorgan’s shareholders directly for the the first time since the news of the loss broke last week, reports the Associated Press (via ABC News).

He offered a quick, blunt apology, saying the trading loss “should never have happened.” He reportedly spoke about the loss for about four minutes, and two more talking about the company’s accomplishments throughout the last year.

Of the trade, a bet on credit derivatives, Dimon said, “This should never have happened. I can’t justify it. Unfortunately, these mistakes are self-inflicted.” He also later told reporters: “The buck always stops with me.”

Dimon won a non-binding shareholder endorsement of his pay package from last year, around $23 million, with most of the ballots cast in the weeks before the loss was revealed.

Shareholders sue JPMorgan Chase over trading loss [Reuters]
Subdued Dimon Is Confronted Over $2B Trading Loss [Associated Press]