JPMorgan has agreed to pay a $250 million civil money penalty after failing to “maintain adequate internal controls and internal audit” over its asset and wealth management division, the New York-based banking giant said on Tuesday.
JPMorgan Chase & Co announced on Tuesday that it has agreed to pay a $250 million civil money penalty after failing to “maintain adequate internal controls and internal audit” over its asset and wealth management division.
According to a resolution submitted by the Office of the Comptroller of the Currency (OCC), the New York-based banking giant’s risk management controls were “deficient”. The regulator also found that the firm had “an insufficient framework for avoiding conflicts of interest.”
“For several years, the Bank 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,” OCC said in its findings.
Despite being unable to admit to the allegations, the U.S. regulator claimed that the banking giant has remediated the deficiencies which led to the imposition of the financial penalty.
“We are committed to delivering best-in-class controls across our business, and we have invested significantly in and enhanced our controls platform over the last several years to address the issues identified,” a spokesman for JPMorgan said in a statement.
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