A $250 million civil money penalty was assessed against JPMorgan Chase Bank, N.A. (Columbus, Ohio) by the Office of the Comptroller of the Currency (OCC) over past “unsafe or unsound practices” related, among other things, to internal control and audit weaknesses that have since been remediated.
The OCC, in the consent order announced Tuesday, said JPMorgan Chase Bank “(f)or several years … maintained a weak management and control framework for its fiduciary activities and had an insufficient audit program for, and inadequate internal controls over, those activities” and “had deficient risk management practices and an insufficient framework for avoiding conflicts of interest.” The OCC found that the bank violated rules on audit of fiduciary activities and “engaged in unsafe or unsound practices that were part of a pattern of misconduct,” the order states.
The OCC said JPMorgan Chase Bank holds total fiduciary and related assets of $29.1 trillion, including $1.3 trillion in fiduciary assets and $28.8 trillion of non-fiduciary custody assets.
OCC Assesses $250 Million Civil Money Penalty Against JPMorgan Chase Bank, N.A.