Massachusetts Senate candidate Elizabeth Warren (D) is calling for JPMorgan CEO Jamie Dimon to resign from his position at the New York Federal Reserve Bank to acknowledge that he was in a position of trust after his company revealed that it had recently lost $2 billion as a result of bad bets on derivatives.
“I’d like to see some real accountability here,” Warren told CBS host Charlie Rose on Monday. “I’d like to see Jamie Dimon, for example, resign from his position as a Class A director of the New York Federal Reserve Bank.”
During a Sunday interview on NBC, Dimon had explained he had been “dead wrong” to dismiss concerns about his company’s banking practices.
“In hindsight, we took far too much risk,” the CEO said. “The strategy we had was badly vetted. It was badly monitored. It should never have happened.”
Warren on Monday blasted Dimon for his history of fighting government regulation of banks.
“Notwithstanding the fact that we are just coming out of this huge crisis, Jamie Dimon has been the one who has led the charge in order to say, nope, no more regulation, fight back against regulation, called the regulation un-American, and resist, tried to put loopholes into the regulation, hire an army of lobbyists,” she said. “This has really got to stop.”
“What happened here is not just about JPMorgan Chase, it’s about the kind of attitudes, that the bank should be regulating themselves instead of having real oversight… we have to say as a country, no, the banks cannot regulate themselves,” Warren added. “They are financial institutions that run the risk of taking down everyone’s job, run the risk of taking down everyone’s pension, run the risk of taking down the entire economy. And that means it’s appropriate to have some government oversight.”
“When something happens like what’s happened at JP Morgan Chase, someone needs to be accountable, and part of that is Jamie Dimon should resign from his position of public trust.”
The Wall Street Journal reported on Sunday that three top executives at JPMorgan were expected to resign over the recent losses, but Dimon was not one of them.
Watch this video from CBS’s This Morning, broadcast May 14, 2012.