Tuesday, June 26, 2012

#JPMC hmmm...Issued False and Misleading Statements (alleged)



Business Wire  06/20/2012 3:40 PM ET
Hagen Berman Reminds JPMorgan Investors 23 Days Remain before Lead Plaintiff Deadline in Securities Lawsuit: Class Period Expanded

Recent JPM News

BERKELEY, Calif.--(BUSINESS WIRE)--Jun. 20, 2012-- Hagens Berman today reminded JPMorgan Chase & Co. (NYSE:JPM) (“JPM” or “the Company”) investors that less than one month remains before the July 13, 2012, lead plaintiff deadline in a securities class-action lawsuit and notified JPM investors that the class period has been extended to cover purchases of JPM common stock back to February 24, 2010.
Investors with more than $300,000.00 in loses from the purchase of JPMorgan common stock between February 24, 2010, and May 10, 2012 (the “Class Period”), and who have suffered substantial financial losses are encouraged to contact Hagens Berman Partner Reed Kathrein by calling (510) 725-3000. Investors may also contact the firm via email at JPM@hbsslaw.com.
The complaint, filed on June 15, 2012, in the United States District Court for the Southern District of New York alleges that JPMorgan issued false and misleading statements to investors concerning the knowledge of increasingly high-risk directional bets emanating from JPM CIO's London office.
According to the complaint, senior JPM executives in the Company's Investment Banking unit, among others, similarly complained to JPM's top executives, including CEO Jamie Dimon ("Dimon"), that the CIO unit was placing speculative bets that it did not fully understand which exposed JPM to significant losses. Having grown accustomed to the quick profits that the CIO office delivered to JPM's bottom line as a result of similar, high-risk trading strategies that turned out to be profitable, these red flags and warnings were ignored by senior management and investors were kept in the dark, according to the lawsuit.
During the class period, the lawsuit alleges that JPM represented in its annual reports on Form 10-K that the CIO was “primarily concerned with managing structural market risks which arise out of the various business activities of the Firm.”
On May 10, 2012, JPMorgan announced to investors that it had suffered slightly more than $2 billion trading loss under synthetic credit positions. On the news, the price of JPMorgan stock declined from $40.74 to $36.96.
The class-action lawsuit asks the court to award damages to investors who suffered losses following JPMorgan's disclosure of its trading losses.
Whistleblowers
Hagens Berman welcomes help in its investigation of whether JPMorgan misled investors by failing to disclose risks associated with its trading strategy.
Persons with knowledge that may help the investigation are encouraged to contact the firm. The SEC recently finalized new rules as part of its implementation of the whistleblower provisions in the Dodd-Frank Wall Street Reform Bill. The new rules protect whistleblowers from employer retaliation and allow the SEC to reward those who provide information leading to a successful enforcement with up to 30 percent of the recovery. You can learn more about Hagens Berman's whistleblower practice at www.hb-whistleblower.com. Whistleblowers can contact Reed Kathrein by calling (510) 725-3000 or by emailing JPM@hbsslaw.com
About Hagens Berman
Hagens Berman Sobol Shapiro LLP is an investor-rights class-action law firm with offices in 10 cities. The firm represents whistleblowers, workers and consumers in complex litigation. More about the law firm and its successes can be found at www.hb-securities.com. The firm's securities law blog is at www.meaningfuldisclosure.com.


Source: Hagens Berman Sobol & Shapiro LLP
Investor Contact:
Hagens Berman Sobol & Shapiro LLP
Reed R. Kathrein, Esquire, 510-725-3030
715 Hearst Ave., Suite 202
Berkeley, CA 94710
JPM@hbsslaw.com
or
Media Contact:
Firmani + Associates
Mark Firmani, 206-443-9357
Mark@firmani.com

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