Dimon: Hit me with a fine; We can afford it

by Paydayloans24701 Apr 2015
In her new political memoir, A Fighting Chance, U.S. Senator Elizabeth Warren recounts a visit to her office by JPMorgan Chase CEO Jamie Dimon that deteriorated almost immediately after it started. Warren writes that the two argued about financial regulation, Dodd-Frank and the new Consumer Finance Protection Bureau she had helped create.

She writes:
Rich Cordray was still serving as director of the consumer agency under a recess appointment; he hadn’t yet been confirmed by the Senate, which meant that the agency was vulnerable to legal challenges over its work. Dimon told me what he thought it would take to get Congress to confirm a director, terms that included gutting the agency’s power to regulate banks like his. By this point I was furious. Dodd-Frank had created default provisions that would automatically go into effect if there was no confirmed director, and his bank was almost certainly not in compliance with the those rules. I told him that if that happened, “I think you guys are breaking the law.”

Suddenly Dimon got quiet. He leaned back and slowly smiled. “So hit me with a fine. We can afford it.”

Dimon was proved correct. In 2014, JPMorgan was hit with $20 billion in fines. However, .

JPMorgan joins Citigroup and other until lawmakers softened their tone on Wall Street, according to Reuters.


Should CFPB have more supervision over credit agencies?