JPMorgan, the largest bank in the United States is reeling from a multi-billion trading loss. But it's also being investigated for 'gaming' the energy markets in California.
JPMorgan, the country's biggest bank, is under investigation for manipulating electricity markets in California and the Midwest. But because this is a federal investigation, no one is really saying much.
A JP Morgan spokesman told the media that the company believes it has "complied in all respects with the law."
And Steven Greenlee, a spokesperson for the California Independent System Operator, which oversees the state's power grid, told me that "because of the ongoing investigation of potential manipulations and communications violations related to the California ISO market, we are not allowed to provide details at this time."
I hadn't seen any reporting on "communications violations," outside FERC demands for emails that came from JPMorgan's commodities group, so I followed up the Greenlee to get some insight. No reponse yet, but it is Friday, and it's a holiday week. I'll update when I get more information.