Clawbacks at JP Morgan
thestreet.com reports that during ’s Friday earnings call could announce that top execs from the CIO, including Ina Drew (Eddie’s article has Drew pay details here) could potentially be forced to give back some of their earnings.could potentially issue clawbacks against some of the senior staff at the Chief Investment Office for their role in the recent losses on Euro corporate index . Jim Cramer’s website
During his senate banking committee hearing, Jamie Dimon mentioned that if any clawbacks are issued, they will be the first inhistory. And although he most likely thinks that a verbal apology is sufficient, on Fast Money the traders brought up the idea that Dimon should be penalized internally to officially take responsibility for the executive oversight of the CIO losses. Earlier this week Bob Diamond forfeited 31 million of deferred stock upon his resignation stemming from the price manipulation scandal at .
I think that thecase is a good example of when clawback rules should be used at a big bank and that Dimon should also take a financial loss for this as well, if to at least set a precedent that the CEO is ultimately responsible for what happens under his/her watch. What do you guys and gals think should happen here with regard to clawbacks?