Elizabeth Warren Calls on JP Morgan Chief to Resign from NY Federal Reserve Bank Board [View all]

[Ichingcarpenter]

BOSTON, MA - In the wake of $2 billion in losses at JP Morgan Chase due to risky trading, Elizabeth Warren, the architect of the Consumer Financial Protection Bureau, today called on Jamie Dimon, JP Morgan's CEO, to resign from his position on the Board of Directors of the New York Federal Reserve Bank as a first step to signal to the American people that Wall Street understands the need for greater responsibility and accountability.

"Wall Street banks continue to have fundamental problems, and tough oversight and accountability are urgently needed. Jamie Dimon deserves credit for taking public responsibility for $2 billion in losses based on a trading strategy he called 'poorly reviewed,' 'poorly monitored,' and even 'sloppy.' But Dimon is not only the CEO of JP Morgan, he is also a member of the Board of Directors of the New York Federal Reserve Bank, where he advises the Federal Reserve on the oversight of the financial industry," Warren said.

"After the biggest financial crisis in generations, the American people are frustrated that Wall Street has still not been held accountable and does not appear to consider itself responsible. Dimon should resign from his post at the New York Fed to send a signal to the American people that Wall Street bankers get it and to show that they understand the need for responsibility and accountability," Warren said.

Dimon has fought against Wall Street reform regulations, including the Volcker Rule, which restricts certain kinds of speculative trades that increase risk in the banking system. Dimon also serves as a member of the Board of Directors of the New York Federal Reserve Bank. Among other things, board members are involved in overseeing the Reserve Bank, participating in the development of credit and monetary policies, and ensuring effective internal auditing systems.

http://elizabethwarren.com/news/press-releases/elizabeth-warren-calls-on-jp-morgan-chief-to-resign