{mosads}The CFTC touted new powers granted it by the Dodd-Frank financial reform law for allowing it to pursue the settlement.
“As this case demonstrates, the commission is now better armed than ever to protect the market from traders, like those here, who try to ‘defend’ their position by dumping a gargantuan, record-setting, volume of swaps virtually all at once, recklessly ignoring the obvious dangers to legitimate pricing forces,” said CFTC Enforcement Director David Meister.
The losses, totaling over $6 billion, disrupted markets and led to a host of congressional investigations into how the trades were allowed to occur, and how clear the bank was with markets about the situation.
JPMorgan separately agreed in September to admit wrong and pay about $920 million to settle other securities law violations stemming from the high-profile losses. That settlement put to rest charges from four different American and British regulators.