Past Hounds JPMorgan Chase & Co. (NYSE:JPM)
Long time watchers of JPMorgan Chase & Co.’s (NYSE:JPM) would be keeping their fingers crossed and hoping that the ongoing investigation that has been launched by authorities in U.K into the alleged omissions and commissions by Richard Usher, JPMorgan Chase & Co.’s (NYSE:JPM) chief dealer in London will not lead trouble back to its door. Analysts believe that chances of JPMorgan Chase & Co. (NYSE:JPM) exposure to this affair are very remote considering the fact that the alleged offences were said to be committed by Mr Usher during his employment stint with Royal Bank of Scotland Group Plc before he joined JPM in 2010.
To the uninitiated, the ongoing investigation by U.K.’s Financial Conduct Authority is centred on alleged manipulation of currency trading by market traders who make money by trading in spot currency. People who are in the know of the course the investigation has taken till now have disclosed that the regulators are examining instant messages that Mr Usher had exchanged with other trading houses in his capacity of currency trader at Royal Bank of Scotland. The messages sent out by Mr Usher went to employees and traders who were not employed by Royal Bank of Scotland. Investigators are trying to piece together evidence to determine if this exchange of notes and information between individuals and trading houses can be construed as an attempt by manipulators to pool information with the intention of mucking around with the foreign exchange market. Analysts believe that the currency exchange has a $5.3 trillion daily turnover.
News started trickling out in early June that such an investigation has been launched by UK agency with specific traders at some banks being question about their possible involvement in the manipulation.
Usher started his stint with JPMorgan in August 2010 much before any investigation was launched by UK authorities. Currently he is heading the banks U.K trading desk.