JPMorgan Broke Whistleblower Protection Rule, SEC Alleges (1)

JPMorgan Chase & Co. broke a federal whistleblower protection rule through agreements with customers that barred them from proactively reaching out to the Securities and Exchange Commission when they accepted a settlement or a credit from the bank, the regulator alleged Tuesday.

The bank agreed to pay a $18 million fine to settle the probe without admitting or denying the SEC’s findings.

From March 2020 to July 2023, JPMorgan used legal language that made customers promise “not to sue or solicit others to institute any action or proceeding against” the firm when a customer accepted a settlement or credit from ...