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YVES SMITH: I’ve seldom seen a financial story where there’s been so much misreporting. For instance, the amount that’s going to be paid is still a bit in flux, but only $3 billion of that is actually going to be a fine. The overwhelming majority is for contract violations where the various banks, both JPMorgan itself and the two banks it acquired, Bear Stearns and Washington Mutual, did what amounted to promise investors that they were going to get steak, and instead it sold them hamburger—and, in fact, many times hamburger that was beginning to turn green. So, these claims are actually contract claims that are the liability something in the range of $200—or, sorry, $100 billion to $200 billion they’ll be getting rid of. That portion of the settlement is only going to be around $10 or 11 billion. So they’re getting out of that part at under 10 cents on the dollar. This is actually a screaming bargain....
http://www.democracynow.org/2013/10/...pmorgan_chases
http://www.democracynow.org/2013/10/...pmorgan_chases