JPMorgan embroiled in Monte Paschi probe by Italian prosecutors

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Another day, another possible problem.

Bloomberg News reports that Siena prosecutors accused J.P Morgan and at least one of its employees of obstructing regulators as part of a wider probe into Banca Monte dei Paschi di Siena SpAs purchase of Banca Antonveneta SpA.

Prosecutors allege J.P Morgan employees withheld information from regulators about a $1.3 billion financing the bank arranged for Monte Paschi’s takeover of Antonveneta in 2008, according to a July 30 court filing obtained by Bloomberg News.

J.P Morgan failed to oversee its employees properly, according to the filing, which didn’t identify any of them by name.

The documents mark the final stage before the authorities can request formal indictments, and it brings them a step closer to reconstructing how Monte Paschi’s former managers allegedly colluded to misrepresent the lender’s finances in the years before it sought a government bailout.

To access the full Bloomberg News article hit the link below:

JPMorgan Accused by Siena Prosecutors in Monte Paschi Probe

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