JP Morgan Investigation Could Set The Limits On A Common Practice

Hiring children of powerful foreign government officials in order to gain advantage in competition for business is common, the writer says, but some variations on the practice seem  more egregious than others – hiring  someone obviously unqualified, for example, as opposed to hiring someone who can actually do the job. The current investigation of JP Morgan Chase in Asia is likely to clarify what could be considered acceptable or borderline acceptable, as opposed to what will garner a Foreign Corrupt Practices Act charge. In the meantime, JP Morgan, already under investigation for issues related to mortgage-backed securities sales and trader oversight, has one more problem it doesn’t need.