The Office of the Comptroller of the Currency has formally ended a consent order that had been placed on JPMorgan Chase & Co. for regulatory shortcomings in overseeing employee and client conduct. The OCC announced on Thursday that it terminated the consent order that was initially imposed in March 2024, with the termination dated March 30. The agency did not provide further details explaining its decision.
The enforcement action had spanned two years and addressed what the OCC described as flaws in JPMorgan's trade-surveillance program. According to the regulator, those deficiencies extended back to at least 2019 and were categorized as unsafe or unsound banking practices. The consent order required the bank to take corrective measures intended to remedy the weaknesses identified by the OCC.
Regulatory oversight of the matter involved more than one agency. The OCC noted that multiple regulators, including the Federal Reserve, had directed the bank to implement fixes to its surveillance and compliance processes. Although the consent order was terminated at the end of March, the OCC did not release information on what, if any, remaining supervisory expectations or follow-up actions will persist.
JPMorgan agreed to the original consent order without admitting or denying the OCC's findings. That agreement resolved the immediate formal enforcement posture taken by the OCC in March 2024 but, based on the announcement, it is not clear whether other supervisory or administrative elements remain in place behind the scenes.
As the largest bank in the United States by assets, JPMorgan's regulatory interactions draw attention across banking and capital markets sectors. The termination of the formal consent order represents a procedural close to the enforcement action described by the OCC, though the agency's silence on the rationale for ending the order leaves some questions about remaining compliance expectations.
Context summary
- The OCC terminated a consent order imposed on JPMorgan in March 2024; termination dated March 30.
- The consent order addressed failures to properly monitor employee and client conduct, with trade-surveillance program flaws identified dating back to at least 2019.
- Multiple regulators, including the Federal Reserve, had directed JPMorgan to implement corrective measures.