The US government authorities are examining JP Morgan’s hiring practices throughout Asia, focusing on South Korea, Singapore and India following an investigation in China about whether it hired the children of powerful Chinese officials to win lucrative business deals.
The SEC, the Justice Department and authorities outside the US are expanding their investigations beyond China into other Asian markets and conducting inquiries into the bank’s hiring of job candidates referred by clients and government officials, as well as former emooployees in Hong Kong.
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
That investigation comes after JP Morgan itself flagged those countries for further review.
Hong Kong and British authorities are also investigating the bank’s hiring practices.
The bank said that authorities were looking into its business relationships with certain related clients in the Asia-Pacific region and its engagement of consultants in the Asia Pacific region and the bank did not specify where the inquiries were directed.
JP Morgan added that it was cooperating with these investigations and has started an exhaustive review of its own hiring practices across the globe. It has not been accused of wrongdoing.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataUS investigators are focusing on a program called Sons and Daughters program started in 2006, a reference to the hiring of Chinese officials’ children, and how these might have helped JP Morgan win deals.
The program included the daughter of a Chinese railway official and the son of Tang Shuangning, a former Chinese banking regulator who is now the chairman of state-controlled financial conglomerate China Everbright Group.
