The Office of the Comptroller of the Currency assessed a $250 million civil money penalty against JPMorgan Chase Bank for failing to maintain adequate internal controls and internal audit over its fiduciary business.
The OCC found the bank’s risk management practices “were deficient and it lacked a sufficient framework to avoid conflicts of interest.”
The deficiencies, the OCC said, “constituted unsafe or unsound practices and resulted in a violation of 12 CFR 9.9, which requires a suitable audit over all significant fiduciary activities.”
The bank has remediated the deficiencies that led to the action, the OCC said. The OCC penalty will be paid to the U.S. Treasury Department.