[bd_at_rivenhill]

They didn't tell Madoff's banker probably because they couldn't as a result of Chinese wall requirements between the two businesses. They didn't tell the SEC because they were in London, but they did tell the UK authorities. Why didn't the UK authorities figure it out? Why should JPM, which sort-of has the job of detecting fraud, be expected to do better than the regulators for whom it is their primary purpose?

[RockyMcNuts]

SEC examiner gets duped by fake records and doesn't check the real bank records -> should probably be fired and the agency investigated

JPMorgan banker, who has all the cash flows, doesn't bother to notice they don't add up and billions are missing -> should probably be fired and JPMorgan should be fined.

One person's incompetence doesn't excuse the other's. Especially when one gets fake records and the other knows the real numbers.

[Ntrails]

Out of all of this the failure of the SEC to say "shit guys, we really could have noticed this, sorry" is pretty damned aggravating.

JPM has plenty they could and should have done better doubtless deserve censure, but it would be nice for the regulators to admit that they did a poor job.