Photo: Screenshot, Inside Job
We know that JP Morgan CEO Jamie Dimon has been an outspoken critic of financial regulation, but is now that best time for him to be putting his money where his mouth is?Now that his company is facing scrutiny from Washington politicians over the $2 billion trading loss revealed in JP Morgan’s quarterly report last week, it might be helpful if he did.
Then again, with this much anger being directed at the bank, it might be a slightly tacky move.
Politico reports that in 2011 JP Morgan spent $7.6 million on lobbying, and that much of that money was spent fighting regulation. Politicians like Senator Bob Corker (R-TN) have benefitted especially from the bank’s largess. Corker sits on the Senate Banking Committee and is leading a charge against JP Morgan as we speak.
So that definitely a hint, right?
JP Morgan realises that now may not be the best time to send their troops down to Washington armed with the power of persuasion. Sources tell Politico that the bank’s lobbyists are mainly serving in an advisory position in this case:
“I don’t care how many [lobbyists] you have. When you have a situation like this, it’s going to put you on the defence and it’s going to be a while before they can get back on offence,” a former JPMorgan official said. “This is going to be a significant distraction for them for a long time.”
That sounds about right.
NOW WATCH: Money & Markets videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.