Too bad the government didn't shutdown before it damaged its best friend in banking, J.P. Morgan-Chase;
JPMorgan’s earnings were eroded, in large part, by a legal expense of $9.2 billion.
“While we had strong underlying performance across the businesses, unfortunately, the quarter was marred by large legal expense,” Jamie Dimon, the bank’s chief executive, said in a statement.A large part of that legal expense coming in the aftermath of Jamie Diamond's acquiescence toTim Geithner's requests for help resolving financial firms' problems in 2008
JPMorgan “continues to seek a fair and reasonable settlement with the government on mortgage-related issues – and one that recognizes the extraordinary circumstances of the Bear Stearns and Washington Mutual transactions, which were undertaken at the request or encouragement of the U.S. government,” Mr. Dimon said.
Mr. Dimon’s reference to a “fair and reasonable settlement” evokes his earlier statements, which have called the government’s investigations related to Bear Stearns unfair. JPMorgan purchased the flailing bank during the depths of the financial crisis, a deal that was blessed by the federal government.Not just blessed. Instigated. The government came, hat in hand to Dimon in March 2008 after he had turned down Bear Stearns' CEO plea for help. Without the government's pressure, Dimon wouldn't have been involved with Bear at all. Similarly, Morgan took over WAMU at government request.
We're from the government, we're here to ask for your help...then try to ruin you for it.