JPMorgan, the largest bank in the U.S., has agreed to pay $4.5 billion to resolve claims it sold faulty mortgage securities.
Last month, it agreed to pay $5.1 billion in another claim that it misrepresented mortgage bonds, and it expects that more legal disputes lay ahead.
Another US bank, Bank of America, has a tentative settlement of $8.5 billion it will be paying to bond investors, and it’s believed many other banks will soon be facing lawsuits over illegal investment practices.
Yet, these settlements are a small fraction of what investors actually lost, and the banks continue to grow and pay great bonuses.
Nice work, boys!