JP Morgan 'faces £4bn loss' from trading blunders in one of Square Mile's worst catastrophes
British losses at the JP Morgan bank could double initial estimates and top £4billion – making it one of the worst trading catastrophes ever to hit the Square Mile.
The warning came as details emerged of bitter rows between the firm’s offices on Wall Street and in London, where the ill-fated deals took place.
The bank chief executive Jamie Dimon admitted earlier this month that the losses racked up by a team of traders in London amounted to around £1.25billion and could rise to £1.875billion.
But rival dealers now believe the black hole could swell to as much as £4.4billion as the bank struggles to unravel the highly complex deals amid turmoil in the eurozone.
Losses: JP Morgan boss Jamie Dimon, left, has announced the curtailment of the bank's $15billion share buy back. The bank's investment office was run by £10million-a-year Ina Drew, right, until her early retirement this month
