Contact the SEC now and tell them no more slaps on the hands.
SEC Addresses: Headquarters and Regional Offices
The Securities and Exchange Commission has twelve offices across the country:
SEC Headquarters100 F Street, NE
Washington, DC 20549
(202) 942-8088
contact form: https://tts.sec.gov/oiea/QuestionsAndComments.html
see also: Electronic Mailboxes at the Commission
Directions for Hand Deliveries & Pick-upsAtlanta Regional Office
Rhea Kemble Dignam, Regional Director
950 East Paces Ferry, N.E.
Ste 900
Atlanta, GA 30326-1382
(404) 842-7600
e-mail: atlanta@sec.gov
State jurisdiction: Georgia, North Carolina, South Carolina, Tennessee, Alabama
Boston Regional Office
John Dugan, Acting Regional Director
33 Arch Street, 23rd Floor
Boston, MA 02110-1424
(617) 573-8900
e-mail: boston@sec.gov
State jurisdiction: Connecticut, Maine, Massachusetts, New Hampshire, Vermont, Rhode Island
Chicago Regional Office
Tim Warren, Acting Regional Director
175 W. Jackson Boulevard
Suite 900
Chicago, IL 60604
(312) 353-7390
e-mail: chicago@sec.gov
State jurisdiction: Illinois, Indiana, Iowa, Kentucky, Michigan, Minnesota, Missouri, Ohio, Wisconsin
Denver Regional Office
Julie Lutz and Kevin Goodman, Acting Co-Regional Directors
1801 California Street, Suite 1500
Denver, CO 80202-2656
(303) 844-1000
e-mail: denver@sec.gov
State jurisdiction: Colorado, Kansas, Nebraska, New Mexico, North Dakota, South Dakota, Wyoming
Fort Worth Regional Office
David Woodcock, Regional Director
Burnett Plaza, Suite 1900
801 Cherry Street, Unit 18
Fort Worth, TX 76102
(817) 978-3821
e-mail: dfw@sec.gov
State jurisdiction: Texas, Oklahoma, Arkansas, Kansas (except for the exam program which is administered by the Denver Regional Office)
Los Angeles Regional Office
Michele Wein Layne, Regional Director
5670 Wilshire Boulevard, 11th Floor
Los Angeles, CA 90036-3648
(323) 965-3998
e-mail: losangeles@sec.gov
State jurisdiction: Arizona, Hawaii, Guam, Nevada, Southern California (zip codes 93599 and below, except for 93200-93299)
Miami Regional Office
Eric I. Bustillo, Regional Director
801 Brickell Ave., Suite 1800
Miami, FL 33131
(305) 982-6300
e-mail: miami@sec.gov
State jurisdiction: Florida, Mississippi, Louisiana, U.S. Virgin Islands, Puerto Rico
New York Regional Office
Andrew Calamari, Regional Director
Brookfield Place
200 Vesey Street, Suite 400
New York, NY 10281-1022
e-mail: newyork@sec.gov
State jurisdiction: New York, New Jersey
Philadelphia Regional Office
Daniel M. Hawke, Regional Director
The Mellon Independence Center
701 Market Street
Philadelphia, PA 19106-1532
(215) 597-3100
e-mail: philadelphia@sec.gov
State jurisdiction: Delaware, Maryland, Pennsylvania, Virginia, West Virginia, District of Columbia
Salt Lake Regional Office
Kenneth D. Israel, Jr., Regional Director
15 W. South Temple Street
Suite 1800
Salt Lake City, UT 84101
(801) 524-5796
e-mail: saltlake@sec.gov
State jurisdiction: Utah
San Francisco Regional Office
Michael S. Dicke, Co-Acting Regional Director
Kristin A. Snyder, Co-Acting Regional Director
44 Montgomery Street, Suite 2800
San Francisco, CA 94104
(415) 705-2500
e-mail: sanfrancisco@sec.gov
State jurisdiction: Washington, Oregon, Alaska, Montana, Idaho, Northern California (zip codes 93600 and up plus 93200-93299)
NO! This is letting them get away with it
again. Its like them telling me they were the owner of my Long Beach
Washington Mutual mortgage and a year later saying they made a mistake
and didn't own it and using the same damn excuses.
NO, this needs to stop. I lost my home because of this abuse.. and I
canbet thousands more.
Let it stop now and this time charges filed, for once work for the people and the investors, and not just let them off the hook.
Let it stop now and this time charges filed, for once work for the people and the investors, and not just let them off the hook.
09/19/2013 07:00 AM EDT
The Securities and Exchange Commission today charged JPMorgan Chase
& Co. with misstating financial results and lacking effective
internal controls to detect and prevent its traders from fraudulently
overvaluing investments to conceal hundreds of millions of dollars in
trading losses.
The SEC previously charged two former JPMorgan traders with committing fraud to hide the massive losses in one of the trading portfolios in the firm’s chief investment office (CIO). The SEC’s subsequent action against JPMorgan faults its internal controls for failing to ensure that the traders were properly valuing the portfolio, and its senior management for failing to inform the firm’s audit committee about the severe breakdowns in CIO’s internal controls.
JPMorgan has agreed to settle the SEC’s charges by paying a $200 million penalty, admitting the facts underlying the SEC’s charges, and publicly acknowledging that it violated the federal securities laws.
“JPMorgan failed to keep watch over its traders as they overvalued a very complex portfolio to hide massive losses,” said George S. Canellos, Co-Director of the SEC’s Division of Enforcement. “While grappling with how to fix its internal control breakdowns, JPMorgan’s senior management broke a cardinal rule of corporate governance and deprived its board of critical information it needed to fully assess the company’s problems and determine whether accurate and reliable information was being disclosed to investors and regulators.”
As part of a coordinated global settlement, three other agencies also announced settlements with JPMorgan today: the U.K. Financial Conduct Authority, the Federal Reserve, and the Office of the Comptroller of the Currency. JPMorgan will pay a total of approximately $920 million in penalties in these actions by the SEC and the other agencies.
According to the SEC’s order instituting a settled administrative proceeding against JPMorgan, the Sarbanes-Oxley Act of 2002 established important requirements for public companies and their management regarding corporate governance and disclosure. Public companies such as JPMorgan are required to create and maintain internal controls that provide investors with reasonable assurances that their financial statements are reliable, and ensure that senior management shares important information with key internal decision makers such as the board of directors. JPMorgan failed to adhere to these requirements, and consequently misstated its financial results in public filings for the first quarter of 2012.
According to the SEC’s order, in late April 2012 after the portfolio began to significantly decline in value, JPMorgan commissioned several internal reviews to assess, among other matters, the effectiveness of the CIO’s internal controls. From these reviews, senior management learned that the valuation control group within the CIO – whose function was to detect and prevent trader mismarking – was woefully ineffective and insufficiently independent from the traders it was supposed to police. As JPMorgan senior management learned additional troubling facts about the state of affairs in the CIO, they failed to timely escalate and share that information with the firm’s audit committee.
Among the facts that JPMorgan has admitted in settling the SEC’s enforcement action:
The SEC’s investigation, which is continuing, has been conducted by Michael Osnato, Steven Rawlings, Peter Altenbach, Joshua Brodsky, Joseph Boryshansky, Daniel Michael, Kapil Agrawal, Eli Bass, Sharon Bryant, Daniel Nigro, and Christopher Mele. The SEC appreciates the coordination of the U.K. Financial Conduct Authority, Federal Reserve, and Office of the Comptroller of the Currency as well as the assistance of the U.S. Attorney’s Office for the Southern District of New York, Federal Bureau of Investigation, Commodity Futures Trading Commission, and Public Company Accounting Oversight Board.
The SEC previously charged two former JPMorgan traders with committing fraud to hide the massive losses in one of the trading portfolios in the firm’s chief investment office (CIO). The SEC’s subsequent action against JPMorgan faults its internal controls for failing to ensure that the traders were properly valuing the portfolio, and its senior management for failing to inform the firm’s audit committee about the severe breakdowns in CIO’s internal controls.
JPMorgan has agreed to settle the SEC’s charges by paying a $200 million penalty, admitting the facts underlying the SEC’s charges, and publicly acknowledging that it violated the federal securities laws.
“JPMorgan failed to keep watch over its traders as they overvalued a very complex portfolio to hide massive losses,” said George S. Canellos, Co-Director of the SEC’s Division of Enforcement. “While grappling with how to fix its internal control breakdowns, JPMorgan’s senior management broke a cardinal rule of corporate governance and deprived its board of critical information it needed to fully assess the company’s problems and determine whether accurate and reliable information was being disclosed to investors and regulators.”
As part of a coordinated global settlement, three other agencies also announced settlements with JPMorgan today: the U.K. Financial Conduct Authority, the Federal Reserve, and the Office of the Comptroller of the Currency. JPMorgan will pay a total of approximately $920 million in penalties in these actions by the SEC and the other agencies.
According to the SEC’s order instituting a settled administrative proceeding against JPMorgan, the Sarbanes-Oxley Act of 2002 established important requirements for public companies and their management regarding corporate governance and disclosure. Public companies such as JPMorgan are required to create and maintain internal controls that provide investors with reasonable assurances that their financial statements are reliable, and ensure that senior management shares important information with key internal decision makers such as the board of directors. JPMorgan failed to adhere to these requirements, and consequently misstated its financial results in public filings for the first quarter of 2012.
According to the SEC’s order, in late April 2012 after the portfolio began to significantly decline in value, JPMorgan commissioned several internal reviews to assess, among other matters, the effectiveness of the CIO’s internal controls. From these reviews, senior management learned that the valuation control group within the CIO – whose function was to detect and prevent trader mismarking – was woefully ineffective and insufficiently independent from the traders it was supposed to police. As JPMorgan senior management learned additional troubling facts about the state of affairs in the CIO, they failed to timely escalate and share that information with the firm’s audit committee.
Among the facts that JPMorgan has admitted in settling the SEC’s enforcement action:
- The trading losses occurred against a backdrop of woefully deficient accounting controls in the CIO, including spreadsheet miscalculations that caused large valuation errors and the use of subjective valuation techniques that made it easier for the traders to mismark the CIO portfolio.
- JPMorgan senior management personally rewrote the CIO’s valuation control policies before the firm filed with the SEC its first quarter report for 2012 in order to address the many deficiencies in existing policies.
- By late April 2012, JPMorgan senior management knew that the firm’s Investment Banking unit used far more conservative prices when valuing the same kind of derivatives held in the CIO portfolio, and that applying the Investment Bank valuations would have led to approximately $750 million in additional losses for the CIO in the first quarter of 2012.
- External counterparties who traded with CIO had valued certain positions in the CIO book at $500 million less than the CIO traders did, precipitating large collateral calls against JPMorgan.
- As a result of the findings of certain internal reviews of the CIO, some executives expressed reservations about signing sub-certifications supporting the CEO and CFO certifications required under the Sarbanes-Oxley Act.
- Senior management failed to adequately update the audit committee on these and other important facts concerning the CIO before the firm filed its first quarter report for 2012.
- Deprived of access to these facts, the audit committee was hindered in its ability to discharge its obligations to oversee management on behalf of shareholders and to ensure the accuracy of the firm’s financial statements.
The SEC’s investigation, which is continuing, has been conducted by Michael Osnato, Steven Rawlings, Peter Altenbach, Joshua Brodsky, Joseph Boryshansky, Daniel Michael, Kapil Agrawal, Eli Bass, Sharon Bryant, Daniel Nigro, and Christopher Mele. The SEC appreciates the coordination of the U.K. Financial Conduct Authority, Federal Reserve, and Office of the Comptroller of the Currency as well as the assistance of the U.S. Attorney’s Office for the Southern District of New York, Federal Bureau of Investigation, Commodity Futures Trading Commission, and Public Company Accounting Oversight Board.
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