An investigation into JPMorgan's hiring practices in China uncovered evidence that links hires to specific deals. Bloomberg News reported that a spreadsheet had been found proving the hiring deals and cited people with knowledge of the matter.
The probe initially focused on the bank's Hong Kong office. The US government has now widened the scope of the investigation to include countries across Asia. This includes over 200 interns and full-time staff, according to the Bloomberg report. The Justice Department has joined the Securities and Exchange Commission in looking into whether JPMorgan entered into hiring deals. The alleged deals involved hiring people in China in exchange for business their family members could offer to the bank, Bloomberg's report said.
If found guilty, the US bank could be charged under the Foreign Corrupt Practices act. This act prevents companies from paying cash or providing anything of value to government employees in order to win business.
JPMorgan spokeswoman Marie Cheung, who is based in Hong Kong, referred Reuters to a previous comment stating the bank is cooperating fully with regulators. She declined to comment further.
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