After peppering the executives with questions about why the bank continued to keep regulators in the dark, Mr. Levin embarks on a discussion about how traders in the chief investment office disguised losses on their trades.
Mr. Levin cites JPMorgan's own assessment on March 30, 2012, that the chief investment office's methods of valuing the trades "needs improvement."
Driving home the idea that traders were "pressured" to diminish losses on their trades, Mr. Levin refers to a junior trader in London, Julien Grout, who, at one point, kept a spreadsheet that tracked the difference between his valuations and the midpoint.
Mr. Levin asks whether it is "common" for JPMorgan to change its pricing practices when losses "start to pile up."
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