BBC NEWS | JP Morgan sued for $20bn

October 3, 2012 — JP Morgan is being sued for $20bn for knowingly selling investments backed by risky mortgages that were likely to lose money. The loans were actually sold by Bear Stearns in 2006 and 2007 before JP Morgan bought the company.

Phil Angelides, chair of the US government’s Financial Crisis Inquiry Commission (FCIC), told Today business presenter Simon Jack that the situation was “very troubling” and that the statute of limitations for criminal actions – currently five years – “needs to be extended” for the alleged crimes to be properly dealt with. Click here to listen to the interview.