The U.S. government urged a federal judge to throw out a lawsuit seeking to scuttle its landmark $13bn settlement with JPMorgan, rejecting a claim that the accord let the largest U.S. bank off too easily.
Reuters reports that Better Markets, a nonprofit critical of Wall Street, had in February accused the government of 'unilaterally' engineering a backroom accord giving JPMorgan "blanket civil immunity" for selling shoddy mortgage securities before the financial crisis.
It said this violated the constitutional separation of powers and called for a judge to review the November settlement.
The accord included a $2bn fine payable to the U.S. Department of Justice. The Better Markets case was prompted by the department's decision not to make its accusations public in a lawsuit before settling with JPMorgan.
In a court filing on Monday night, however, the Justice Department said its decision to settle was 'presumptively' unreviewable, and that Better Markets lacked standing to sue.
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