JP Morgan and UBS hit as fines for banking scandals unveiled

Oliver Smith
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THE CITY regulator will today announce one of the biggest ever fines on US banking giant JP Morgan over the so-called London whale derivatives scandal.

At around 2pm the Financial Conduct Authority (FCA) is expected to announce penalties in excess of £50m for JP Morgan over failing to properly supervise its traders, according to Sky News.

The derivatives losses resulting from these failures cost JP Morgan more than £3.7bn last year.

Total fines from US and UK government agencies over the affair are expected to cost the bank more than £495m when they are revealed this week.

The FCA declined to comment on today’s upcoming announcement.

Yesterday the Japanese investment banking unit of UBS was ordered to pay a $100m (£62m) criminal fine after pleading guilty in December to its involvement in the Libor scandal.