JPMorgan Chase is paying $5.1 billion to Fannie/Freddie to settle some of its CDO skullduggery in the mortgage-backed securities fiasco responsible for the 2008 financial crisis. As a direct result, the financial behemoth is posting a third quarter loss of $400 million.
Put its latest payout on the tab: JPMorgan has been bleeding settlements since early 2011, often though not exclusively as fallout from the financial crisis and ensuing recession that it helped to enable. Here are all the major deals reached by JPMorgan, as tallied by The Daily Beast (note that while JPMorgan does not Officially Ratify & Confess its wrongdoing as part of its settlements, readers are encouraged to give limited credence to the veracity of a duly-negotiated settlement term and let the payments speak for themselves):
• $.056 billion, April 2011 - illegally foreclosing on active-duty servicewomen and men
That's a total of about $23 billion, which does not include the undisclosed January 2013 settlement, the pending charge that JPMorgan neglected to properly vet its investments with Bernie Madoff, or its attorney's fees incurred in defending these cases. Stocks are down $0.17/share as a result of the latest settlement, which is practically nothing, but I'm betting the annual hanging of the latest "...But No Liability Admitted!" plaques at the stockholder meeting is getting somewhat tenser.
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