JPMorgan Settles SEC Charges Over Whistleblower Law Violations

The bank agrees to pay $18 million in penalties and change its contract provisions, without admitting or denying the allegations.

JPMorgan Chase has settled charges with the Securities and Exchange Commission (SEC) over allegations it impeded hundreds of advisory clients and brokerage customers from reporting potential violations of securities law.
The SEC said JPMorgan asked clients to sign a confidentiality agreement if they had been issued a credit or settlement of more than $1,000, which prohibited clients from contacting the SEC, violating whistleblower protection law.
The bank has agreed to pay $18 million in civil penalties over the allegation.
JPMorgan neither admitted or nor denied the charges, while agreeing to the fine and to change its contract provisions.
A company spokesperson said JPMorgan takes its regulatory obligations seriously and 'promptly took action to resolve this issue.'