JP Morgan probed for energy market manipulation
Washington: JPMorgan Chase has been subpoenaed by the US energy regulators pertaining to issues of manipulating electricity markets in California and the Midwest, a news wire reported on Wednesday.
This also requires the bank to produce 25 internal emails as part of the investigation.
The US Federal Energy Regulatory Commission (FERC), which has recently stepped up its efforts to end manipulation of US power markets, filed a petition in federal court on Monday to require the bank to produce emails from 2010 and 2011 as part of a formal investigation into the bank's power trading.
The inquiry follows complaints from grid operators in California and the Midwest in 2011 that JPMorgan's traders may have bid up electricity prices by more than USD 73 million. FERC has not yet found if there was any wrongdoing.
With Agency Inputs