The Trouble With JPMorgan: BlackRock And Neuberger Berman To Get $5.75 Billion, Similar to Settlement With Bank of America

The potential multibillion dollar payouts from the Jamie Dimon-led bank have underlined the sheer magnitude of the decisions made leading up to the financial crisis. The lawsuits, criminal investigations and probes have been piling up for years and it looks doubtful they will slow anytime soon.

JPMorgan had set aside more than $9 billion last quarter to cover its legal headaches. As of the end of the third quarter, its legal reserves stood at $23 billion, but it wasn’t clear how much of that was earmarked for the mortgage probes. Based on a 2012 analysis conducted by Compass Point Research & Trading LLC, a financial-services firm based in Washington, D.C., the 11 largest U.S. banks face potential losses of around $30 billion, relating to mortgages and various back claims.

BlackRock and Neuberger Berman made similar claims against Bank of America Corp. (NYSE:BAC), which reached an accord to pay out $8.5 billion in 2011. That settlement is now before a judge for final approval.

Article Appeared @http://www.ibtimes.com/trouble-jpmorgan-blackrock-neuberger-berman-get-575-billion-similar-settlement-bank-america-1437514

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