CFTC Awards $30 Million to a JPMorgan Whistleblower
From the Desk of Jim Eccleston at Eccleston Law LLC:
The Commodity Futures Trading Commission has awarded $30 million to a confidential whistleblower who provided information to the agency about JP Morgan’s failure to properly inform certain wealthy clients about conflicts of interest associated with its investment recommendations.
According to the whistleblower’s filing, JP Morgan failed to disclose that it was steering asset-management clients into investments that would be especially profitable for the bank.
As a result of the whistleblower’s filings, in 2015, the CFTC filed an enforcement action against JP Morgan, which culminated into a $367 million settlement. Moreover, of the $367 million settlement, $100 million went to the CFTC, and $100 was paid in penalties and disgorgement of ill-gotten gains. In addition, JP Morgan agreed to pay an additional $267 million to the SEC, which also was involved in the regulatory enforcement proceeding.
The CFTC and SEC’s whistleblower programs have been important tools since their inception. The CFTC amended its program in 2017 to mirror the SEC’s whistleblower program in order to strengthen anti-retaliation protections for whistleblowers. The standard to obtain an award requires that the whistleblower’s information must be unique, useful and leads to a successful enforcement action.
Eccleston Law, LLC helps individuals file and document their CFTC and SEC whistleblower claims while maintaining confidentiality. Please contact us for further information.
The attorneys of Eccleston Law LLC represent investors and advisors nationwide in securities and employment matters. The securities lawyers at Eccleston Law also practice a variety of other areas of practice for financial investors and advisors including Securities Fraud, Compliance Protection, Breach of Fiduciary Duty, FINRA Matters, and much more. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today.
Related Attorneys: James J. Eccleston
Tags: james eccleston, eccleston law, eccleston law llc, eccleston, cftc, jpmorgan