JPMorgan Chase & Co.'s (JPM) Chairman and Chief Executive Officer Jamie Dimon is slated to meet with bank examiners from the Office of the Comptroller of the Currency next week after on the financial services giant's request following a series of compliance and risk problems, according to media reports on Friday.
The meeting is expected to be a town-hall style, which will include junior examiners those who normally do not interact with CEO's.
Meanwhile, JPMorgan shareholders are calling for a split in the roles of chairman and CEO, both of which are currently held by Dimon. Shareholders want Dimon to relinquish the role of chairman so that a separate chairman is named who will overlook the actions of the CEO.
Advisory firm Institutional Shareholder Services has asked shareholders to vote in favor of the proposal to name an independent chairman at JPMorgan's annual shareholder meeting on May 21. JPmorgan needs to be worried as recommendations from advisory firm's are quite influential.
Meanwhile, the JPMorgan executives and directors have shot down the idea, and are lobbying large shareholders to vote against the proposal, which had won the support of only 40 percent of shareholders at the 2012 annual shareholder meeting.
Dimon has been under fire for the past one year to relinquish the role of chairman after bank revealed in early May multi-billion dollar trading losses of nearly $6 billion. It said that since March 31, 2012, its Chief Investment Office or CIO had hefty mark-to-market losses in its synthetic credit portfolio that has proved to be more riskier than expected.
Last week, Co-Chief Operating Officer Matt Zames assume the role of sole COO after his partner Frank Bisignano decided to leave the company to take up another job.
Bisignano's decision to leave the company adds another senior executive to the list of those who left the company since June 2012 following the multi-billion dollar trading losses. Bisignano has already been named the CEO of payment processing company First Data Corp., effective April 29.
The revealing of the stunning trading loss first claimed its Chief Investment Officer Ina Drew, who announced her retirement, with the then Co-Head of Global Fixed Income Zames named to replace her. Zames has been serving as the CIO and Co-COO since May 2012.
Meanwhile, Zames is among the front runners to succeed the company's Chairman and CEO Jamie Dimon, and is said to have helped Dimon to wriggle out of the trading losses of nearly $6 billion.
JPM closed Friday's regular trading session at $47.57, down $0.51 or 1.06% on a volume of 43.27 million shares.
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