Credit union regulator sues JPMorgan over mortgage securities

[dipsydoodle]

Source: Chicago Tribune

The U.S. credit union regulator sued JPMorgan and Washington Mutual late Friday over $2.2 billion in mortgage securities sold to credit unions that collapsed because of losses from the securities.

The suit is the third the regulator, the National Credit Union Administration, has filed against JPMorgan involving mortgage losses, and the second in a month.

In December, it sued the bank over $3.6 billion in securities sold by Bear Stearns, which JPMorgan acquired during the financial crisis. In June 2011, the NCUA sued over some $1.4 billion in securities in which JPMorgan was the underwriter and seller. Both suits are pending.

JPMorgan bought the assets of Washington Mutual in 2008 after it failed and was seized by regulators.

Read more: http://www.chicagotribune.com/business/breaking/chi-credit-union-regulator-sues-jpmorgan-over-mortgage-securities-20130104,0,7621402.story

[banned from Kos]

1. WaMu was almost as bad as Countrywide

both were writing as many shitty mortgages as they could.