Edward Little, a lawyer for an ex-JPMorgan Chase & Co. employee, had been trying to convince the US prosecutors to drop charges filed against his client Julien Grout. The criminal charges was in connection to the "the London Whale" deal that was recorded to have an estimated loss of USD2 billion. This was according to a source familiar with the matter said on Friday.
US prosecutors accused Grout last August 14 of trying to hide millions of dollars worth of trading losses. Grout was Bruno Iksil's deputy during that time in the bank's Chief Investment Office in London. Grout was also accused of making false credit derivatives portfolio with wrong inflated prices.
Last month, Grout's lawyer Edward Little argued with US prosecutors that his client had not known the prices were wrong. Little said that Grout only recorded prices he thought were correct as per instruction given by superiors including Iksil. This was according to a source familiar with the matter.
The US government has the option not to pursue the charges filed against Grout. However, if a grand jury would vote to indict him, the chances for the charges to be dismissed would vanish. This was according to a source who asked not to be identified as the matter was held public in nature.
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