Rep. Says JPMorgan Shouldn't Pay For Bear Stearns MBS Fraud

Law360, New York (October 22, 2012, 8:21 PM EDT) -- Rep. Barney Frank, D-Mass., urged regulators Monday to reconsider a suit against JPMorgan Chase & Co. over alleged mortgage-backed securities fraud committed at Bear Stearns & Co. Inc. before JPMorgan absorbed it during the financial crisis, saying the federal government pushed for the deal.

In a statement late Monday afternoon, the Massachusetts Democrat and namesake of the Dodd-Frank Act said that rather than targeting firms that took over failed rivals only because the government asked them to as the financial crisis escalated, New York’s Attorney General...
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