(ABC NEWS) — JPMorgan Chase now faces two new lawsuits from shareholders angry over the bank’s $2 billion trading loss. The suits, filed in federal court in New York, allege JPMorgan misled investors about the bets that went bad.
“Defendants misrepresented the losses and risk of loss to the Company arising from massive bets on derivative contracts,” plaintiff Saratoga Advantage Trust said in court papers. “These derivative bets went horribly wrong.”
Chief executive Jamie Dimon, whose pay package was approved by shareholders on Tuesday, has said the bank made “egregious” and “self-inflicted” mistakes, words that may come back to haunt him in court.
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