JPMorgan's transaction monitoring 'under investigation'

18 September 2012

JPMorgan is under scrutiny from US authorities over its monitoring of certain financial transactions, it has emerged.

The major US bank is currently being probed by regulators to establish whether its anti-money laundering systems are sufficient due to concerns about possible lapses in this area in the recent past.

People familiar with the situation have told Reuters that this investigation is primarily focused on the personnel and policies the lender uses to safeguard against illicit money flows.

For instance, the insiders explained that one part of the enquiry is based on how officials at the bank set up a review into a high volume of suspect transactions going through the organization.

The investigation is being led by the US Office of the Comptroller of the Currency (OCC) and is expected to result in JPMorgan being told to improve the standard of its anti-money laundering systems.

And one of the sources indicated that the lead OCC examiner in this case has a reputation for taking a no-nonsense approach when evidence of money laundering is found.

By Gary Cooper

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