WASHINGTON — The Senate Banking Committee has yet to decide whether it will call JPMorgan Chase officials to testify about the firm's $2 billion trading loss, according to a committee source.
"We need to hear from the regulators and also review relevant facts as they become available before making a decision," a Democratic committee source said Monday, three days after Republican Sen. Bob Corker
Later in the day, Corker said that he became more optimistic over the weekend that a hearing will be held.
"We were getting some negative response on Friday," he said. "I think by the weekend, we're getting indications we may have a hearing."
Corker said that he does not believe that JPMorgan Chase CEO Jamie Dimon needs to testify, but he would like a company official with deep knowledge of the situation to testify alongside officials from various regulatory agencies.
In the meantime, members of the Banking Committee will have the chance to question financial regulators about the situation at JPMorgan Chase during a series of upcoming hearings that will focus on different issues.
The committee announced Monday that hearings over the next few weeks will feature witnesses from the Securities and Exchange Commission, the Commodity Futures Trading Commission, the Federal Reserve Board, the Consumer Financial Protection Bureau, the Office of the Comptroller of the Currency, and the Treasury Department.
Issues to be discussed at the hearings include derivatives regulation and enhanced bank supervision under the Dodd-Frank Act, but senators will also have a chance to ask questions about the situation at JPMorgan Chase.
"Other issues related to financial stability expected to be discussed at these hearings include the recently reported $2 billion trading loss by JPMorgan Chase, proposals to reform money market funds, and the economic situation in Europe," committee Chairman Tim Johnson said in a statement.
The losses at JPMorgan Chase have sparked calls by congressional Democrats for tough implementation of the Volcker Rule.
