JPMorgan 'sons and daughters' probe extends to Asia-Pacific
The bank disclosed in a securities filing on Friday that authorities were looking into "its business relationships with certain related clients in the Asia-Pacific region and its engagement of consult-ants in the Asia Pacific region".
JPMorgan did not specify where the inquiries were directed. But according to people briefed on the matter, government authorities are examining JPMorgan's hiring practices throughout Asia, focusing on South Korea, Singapore and India. That scrutiny comes after JPMorgan itself flagged those countries for further review, the people said.
The investigations from the US Securities and Exchange Commission and the Justice Department, the people noted, were still in their fledgling stages. Hong Kong and British authorities are also investigating the bank's hiring practices, said the people, who spoke on the condition of anonymity.
It is unclear whether authorities suspect improper activity in these regions beyond China or are simply placing a marker for a possible broader investigation. Either way, the global focus signals a fresh challenge for the bank and an escalation of the inquiry.
The focus of the case surfaced in August, when it emerged that federal authorities - led by the SEC's anti-bribery unit - had begun an investigation into the bank's hiring of the sons and daughters of China's elite. They included the daughter of a Chinese railway official and the son of Tang Shuangning, a former Chinese banking regulator who is now the chairman of state-controlled financial conglomerate China Everbright Group, according to a confidential government document.
At one point, according to interviews with the anonymous sources, the bank created a formal "Sons and Daughters" program. And in some cases JPMorgan won business from companies with ties to the children.
JPMorgan said on Friday that the bank was "co-operating with these investigations".
JPMorgan has not been accused of wrongdoing.
Frequently Asked Questions about this Article…
The 'Sons and Daughters' program was a formal initiative by JPMorgan to hire the children of influential Chinese officials. This program is under investigation to determine if it was used to win business from companies connected to these individuals.
The 'Sons and Daughters' program was a formal initiative by JPMorgan to hire the children of influential Chinese officials. This program is under investigation as it allegedly helped the bank win business from companies connected to these hires.
JPMorgan is under investigation for its hiring practices in the Asia-Pacific region, particularly whether it hired the children of powerful officials to secure lucrative business deals. The investigation has expanded beyond China to include countries like South Korea, Singapore, and India.
JPMorgan is under investigation for its hiring practices in the Asia-Pacific region, particularly whether it hired the children of powerful officials to secure lucrative business deals. The investigation has expanded beyond China to include countries like South Korea, Singapore, and India.
The US Securities and Exchange Commission (SEC) and the Justice Department are leading the investigation into JPMorgan's hiring practices. Additionally, authorities in Hong Kong and Britain are also examining the bank's activities.
The US Securities and Exchange Commission (SEC) and the Justice Department are leading the investigation into JPMorgan's hiring practices. Additionally, authorities in Hong Kong and the UK are also examining the bank's activities.
As of now, JPMorgan has not been formally accused of any wrongdoing. The investigations are still in their early stages, and the bank is cooperating with the authorities.
The investigation was triggered by concerns that JPMorgan hired the children of China's elite to gain business advantages. This scrutiny has now expanded to other regions in Asia-Pacific.
The investigation was triggered by concerns that JPMorgan may have hired the children of China's elite to gain business advantages. This scrutiny has since expanded to other regions in Asia.
As of now, JPMorgan has not been formally accused of any wrongdoing. The bank has stated that it is cooperating with the ongoing investigations.
The investigation is focusing on JPMorgan's hiring practices in South Korea, Singapore, and India, in addition to the initial focus on China.
The investigation is focusing on JPMorgan's hiring practices in South Korea, Singapore, and India, in addition to the initial focus on China.
The investigation poses a fresh challenge for JPMorgan, potentially affecting its reputation and business operations in the Asia-Pacific region. The outcome could lead to further scrutiny and regulatory actions.
The SEC's anti-bribery unit is leading the investigation into whether JPMorgan's hiring practices violated anti-bribery laws by hiring the children of influential officials to win business.
JPMorgan has stated that it is cooperating with the investigations being conducted by various authorities. The bank is working to address the concerns raised by the inquiries.
JPMorgan has stated that it is cooperating with the investigations being conducted by various authorities into its hiring practices in the Asia-Pacific region.
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