SACRAMENTO (CBS SF) – JPMorgan Chase & Co. will pay nearly $300 million to California’s public employee and teacher pension funds as part of a settlement related to mortgage-related investments.
Attorney General Kamala Harris announced Tuesday that the $299 million in damages will settle claims that the company misrepresented the value of residential mortgage-backed securities sold to the California Public Employees Retirement System and California State Teachers’ Retirement System between 2004 and 2008.READ MORE: UPDATE: 15 Injured, 20 Rescued After Fire Erupts Inside San Francisco Tenderloin Apartment Building
Harris said JPMorgan profited by giving the pension funds incomplete information on the risks of many of the underlying mortgages.READ MORE: UPDATE: Willow Fire Grows Past 2,000 Acres Near Big Sur, Evacuations Ordered
The settlement is part of a broader, $13 billion settlement between the investment company and the U.S. Department of Justice. Under the larger settlement, JPMorgan will provide $4 billion in mortgage relief to the states, including California.MORE NEWS: West Nile Virus Found in Mosquitos in Stockton
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