Interesting news is pouring out at holiday time.
Katarzyna Klimasinska, Bloomies:
JPMorgan Chase & Co. (JPM) is being investigated over potential power-market manipulation that inflated payments for electricity, according to the U.S. Federal Energy Regulatory Commission.
The FERC, which has pledged to combat manipulation of prices, began its probe after reports last year of bidding practices by JPMorgan that the California and Midwest grid operators deemed to be abusive, according to documents provided by the Washington-based agency.
“Three of the bidding techniques had together resulted in at least $73 million in improper payments,” the agency said in documents filed yesterday, citing estimates by the two system operators.
Morgan response: “Who? Us?”
Also under FERC investigation/scrutiny: Deutsche Bank, Constellation, Barclays.