Siena prosecutors had requested that JP Morgan Chase & Co. go to trial for obstruction of justice during a wider probe into Banca Monte dei Paschi di Siena SpA's acquisition of Banca Antonveneta SpA. This was according to sources familiar with the matter cited in a Bloomberg report.
According to the report, prosecutors had alleged that JP Morgan kept information from Italian regulators regarding a EUR1 billion loan from a New York based lender. The loan was arranged to be used for Monte Paschi's takeover of Antonveneta last 2008.
JP Morgan failed to oversee employees properly, said an indictment request. Bloomberg reported on the story while citing sources who requested for anonymity.
The Italian prosecutors were also seeking to indict former managers of Monte Paschi for obstructing regulators. This was when said managers allegedly manipulated markets and falsified filings, the report by Bloomberg went on.
JP Morgan was not immediately available to comment regarding the report.
Join the Conversation