FINRA Reports JPMorgan Chase Gave Convicted Felons Access To Client Data

JPMorganThe Financial Industry Regulatory Authority or FINRA is claiming JPMorgan Chase hired ex-cons into jobs that could access clients’ bank-account information.

FINRA said the banking behemoth failed to perform proper background screenings on as many as 8,670 employees from January 2009 to May of this year.

The bank also failed to properly fingerprint about 2,000 employees on time, according to FIRA. JPMorgan Chase also only screened 6,600 applicants for financial crimes.

The bank did not admit or deny FINRA’s findings. However, it has agreed to pay a $1.25 million fine.

Bank spokesperson, Jessica Francisco told the NY Post:

We self-reported this matter. We are pleased it’s now behind us.

JPMorgan Chase Loan Officer Pleads Guilty To Loan Fraud

JPMorgan Loan Officer Ross Pickard pleaded guilty to conspiracy to commit loan fraud back in July. The 63-year old faces a maximum penalty of five years in federal prison. Pickard also faces up to 30 years on each of the fraud counts.

Pickard was a senior loan officer at JP Morgan Chase Bank in Naples, Florida. He conspired with others to defraud the bank. Pickard and others completed and submitted mortgage loan applications containing false and fraudulent statements. In addition, he also certified the information with underwriters. 

Pickard and his cohorts overinflated income and assets. In addition, he also understated liabilities and false occupancy. Consequently, Pickard’s false and fraudulent statements on the loan applications allowed JP Morgan Chase to fund mortgages for unqualified borrowers.

JP Morgan Chase Bank suffered $33 million because of Pickard’s criminal conduct. You can read Pickard’s plea deal here.

Stephen Muldrow made the announcement. Muldrow is the acting United States Attorney for the Middle District of Florida. Muldrow also told the media:

By relying on Pickard’s false and fraudulent statements on the loan applications, JP Morgan Chase funded mortgage loans for otherwise unqualified borrowers.


Write A Comment

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ready to get started?

Speak to a specialist at (888) 737-6344

Translate »