JPMorgan Chase CEO Jamie Dimon To Face Congress

(AP)

JPMorgan Chase CEO Jamie Dimon has been called President Obama’s favorite banker and the Wall Street guy who got it right during the financial crisis.

But Wednesday, Dimon is expected to become Washington’s latest Wall Street whipping boy. He has been summoned to the first of two congressional hearings this month to explain how the bank lost at least $2 billion dollars last month.

Dimon, a fast-talking banker who loves boxing, first called the losses “a tempest in a teapot,” only to admit later that they were “egregious mistakes.”

Wall Street Journal: JPMorgan Chase Knew Of Risks
Bloomberg: House Of Dimon Marred By CEO Complacency Over Unit’s Risk

Guest:

Gretchen Morgenson, New York Times Wall Street columnist

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We welcome comments from all of our listeners. Post below. Please stay on topic and be civil. Comments may be moderated by us, but you are solely responsible for the content of your comments.

Renchlaw

Gretchen says there is an implicit taxpayer guaranty of the big banks. Why not a law from Congress forbidding a taxpayer bailout, thus removing the implicit guaranty?
Bward19

This is a no brainer. Of course separate them. Also how is it that politicians and bankers are the only professions who claim they are not biased or influenced by money or greed and the media gives them a free pass on that assertion?
http://www.facebook.com/profile.php?id=1353096270 Marsha Maines

BARRATRY by Private Union Members, IS a CRIME, which is what People called “ESQUIRES” in the U.S. do everyday. These Private Union Members are known today with the label laywer,judge.�
They dishonor their OATH of Office To Protect the Constitution and ITS peoples – by acting as parasites/vampires sucking a living out of the Innocent because they’ve sold their Souls for a Price..to the KING of ENGLAND… http://bulk.resource.org/courts.gov/c/F3/190/190.F3d.320.98-41071.html “ This case arises out of …Legislature’s attempt to regulate the “cottage industry” of alleged ambulance-chasing…others that has emerged …Touting the state interests…the need to preserve the reputations of state-licensed professionals, the …Legislature passed H.B. 1327, which prohibits … other professionals from soliciting …, from individuals who have a special need … arising out of a particular occurrence ”

“Barratry involves stirring up or exciting litigation, some of which may be frivolous. At common law, a cause of action could not lie without three such instances. See, e.g. 9 FL Jur. 2d 4 (1997); 2 Witkin & Epstein, Cal. Criminal Law (2d ed. 1988) 1131, p. 1310.

Statutes, however, may make individual acts of solicitation an offense of barratry. See Tex. Penal Code Ann. art. 290 (1901) (repealed 1917); 9 FL Jur. 2d 4; see also Susan Lorde Martin, Syndicated Lawsuits: Illegal Champerty or New Business Opportunity, 30 Am. Bus. L.J. 485, 488-89 (1992).2
The offense of barratry has an ancient lineage. In some form, the doctrine of barratry existed in Greek and Roman times, as well as in the Middle Ages in England. See Martin, supra at 487.�
Moreover, the legal profession’s resistance to solicitation derives from the Magna Carta-era traditions of the English system of legal education.�
Beginning in the thirteenthcentury, the Inns of Court trained wealthy young men, who, needing no income, “viewed law practice as a public service instead of a trade.” Katherine A. Laroe, Comment, Much Ado About Barratry: State Regulation of Attorneys’ Targeted Direct-Mail Solicitation, 25 St. Mary’s L.J. 1513, 1519-20 (1994).

This view even gave rise to an eighteenth century law forbidding barristers from accepting fees, id. at 1520, much less soliciting them. ”

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