JPMorgan Pays $4M To End WaMu Mortgage Kickback Suit

Law360, New York (June 25, 2012, 8:57 PM EDT) -- JPMorgan Chase Bank NA earned preliminary approval Monday for a $4 million settlement that lays to rest a Pennsylvania class action accusing failed Washington Mutual Inc. of collecting kickbacks in return for referring borrowers to certain private mortgage insurers.

If the proposed settlement wins final approval this fall, it would close the book on a five-year-old lawsuit left over from JPMorgan's 2008 acquisition of WaMu following its seizure by the Federal Deposit Insurance Corp.

The proposed settlement, which was filed in Pennsylvania federal court earlier this...
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