Only in today's world could the issue of clawbacks on bad deals actually be debated rather than immediately forced. The deals were lousy and the bank lost money. Why should this even be debated? Weren't we supposed to have addressed this already after the 2008 crash, or was that just talk to sooth the public?
U.S. bank regulators will review whether JPMorgan Chase executives should have to give back compensation due to the bank's failed hedging strategy that has produced at least $2 billion in losses, the head of the Office of the Comptroller of the Currency said.
OCC chief Thomas Curry said his agency will evaluate the compensation of the chief investment office responsible for the trading loss, and will assess JPMorgan's determination on clawbacks as part of that evaluation.
In written testimony prepared for a Senate Banking Committee hearing on Wednesday and obtained by Reuters, Curry also said JPMorgan's trading loss will affect its earnings, but does not present a solvency issue and does not threaten the broader financial system.