JPMorgan Chase Settles Antitrust Case in W.Va.
West Virginia's attorney general has reached a $400,000 settlement with JPMorgan Chase over allegations of antitrust law violations.
Attorney General Patrick Morrisey announced the deal Tuesday. JPMorgan Chase was one of 22 banks and financial companies sued in 2009 by previous Attorney General Darrell McGraw.
The lawsuits claimed the institutions illegally rigged bids, fixed prices and manipulated the market for municipal derivatives.
Municipal derivatives are investments that allow a municipal bond issuer to generate a higher rate of return from bond proceeds than would be obtained if the bond funds were placed in a traditional savings account.
JPMorgan denied allegations at the time of the lawsuit and denied wrongdoing in the settlement. The settlement closes claims against the company.
The attorney general already reached deals with Royal Bank of Canada, Bank of America and Morgan Stanley, but lawsuits against the other banks are ongoing.
Most money from the settlement, except for attorney fees and costs, will go to state agencies that invested in municipal derivatives.