JPMorgan Chase & Co. has filed suit against Javier Martin-Artajo, the executive who supervised Bruno Iksil, aka the London Whale, after the latter’s disastrous trades lost the bank what could be upwards of $6.2 billion.
Bloomberg reported Wednesday that the bank had filed the action in London on Oct. 22 and made it public on Wednesday. The filings revealed no details of the suit; neither Martin-Artajo nor Iksil are still with the bank.
According to an August Wall Street Journal report, JPMorgan’s internal investigation into the losses indicated that Martin-Artajo encouraged Iksil to value his trades higher than they would have sold for on the open market.
After the bank’s investigation found an apparent effort by traders to hide the problem, JPMorgan fired the managers responsible and added that it would claw back pay. Although the company didn’t name the managers, responsibility for the trades fell to managers Iksil, Martin-Artajo and former Europe Chief Investment Office head Achilles Macris.