LONDON Oct 21 A former JPMorgan Chase & Co
executive in Europe is appealing findings by Britain's
financial watchdog that criticised his actions in connection
with the "London Whale" scandal.
Achilles Macris, who is appealing, ran the London division
of JPMorgan's Chief Investment Office, where Bruno Iksil,
nicknamed "the London Whale" for the size of the his derivatives
trades, stacked up huge losses, more than $6.2 billion at last
JPMorgan agreed to pay $920 million in penalties last month
to the U.S. Federal Reserve, the U.S. Securities and Exchange
Commission, the U.S. Comptroller of the Currency and the UK's
Financial Conduct Authority (FCA) over the trading scandal.
The FCA notice of its fine, totalling 137.6 million pounds,
did not mention Macris by name but said that "by virtue of the
conduct of the CIO London management" JPMorgan had deliberately
misled the regulator.
A spokesman for Macris said he had not been given a proper
opportunity by the FCA to respond to the criticisms before they
"Mr. Macris strenuously denies the assertions made by the
authority in the final notice as being factually wrong. Those
assertions fail to take proper account of the actions he took
and mischaracterise his dealings with the authority at the
relevant time," said the spokesman in an e-mailed statement.
FCA spokeswoman Lara Joseph was not immediately available to
comment, nor was a JPMorgan spokesman.
Jamie Dimon, chief executive of the New York-based bank,
characterized the $6.2 billion loss last year as "the stupidest
and most embarrassing situation I have ever been a part of."
Iksil's former boss, Javier Martin-Artajo, and junior trader
Julien Grout were indicted in the United States in September on
five charges each, including securities fraud and conspiracy,
for seeking to hide losses as they began to mount. Iksil has not
been criminally charged and has been cooperating with U.S.
Martin-Artajo and Grout are not in the United States and
haven't returned to face the charges. Macris was Martin-Artajo's