Ina Drew: London traders to blame for JP Morgan's $6.2bn loss

18 March 2013

Ina Drew has insisted she is not to blame for JP Morgan's heavy losses in the so-called London Whale trading scandal.

Last year, the major US bank incurred losses of some $6.2 billion due to these problems, which involved professional Bruno Iskil making illicit trades that were, analysts noted, significant enough to alter the entire position of the markets.

However, during questioning at the US Senate's Subcommittee relating to banking affairs, the major US banks' ex-chief investment officer said she had no knowledge that some people working beneath her were acting unscrupulously.

Ms Drew insisted the control and oversight of her department was "reasonable and diligent" and noted she could do little to prevent some members of her team in London from failing to value positions properly.

She went on to say that these staff members also "minimised reported and projected losses and hid from me important information regarding the true risks of the book".

By Asim Shah

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