Key Republican: JPMorgan $2B loss raises questions
Wednesday, May 16, 2012
WASHINGTON (AP) -- A key House Republican says the $2 billion trading loss at JPMorgan Chase raises critical questions about how banks control their risks. But Republican lawmakers rejected calls from Democrats for stricter regulation.
Rep. Shelly Moore Capito, R-W.Va., chairman of the House Financial Services subcommittee, noted the loss during a hearing about how best to regulate banks big enough to bring down the broader financial system.
Lawmakers said a firm's character should count when regulators determine if they are "systemically important financial institutions." Such a designation would subject them to a stricter level of oversight.