Penney Board Assails Director (WSJ)
J.C. Penney Co.’s board is weighing whether to take action against William Ackman, a director and the company’s largest shareholder, after the hedge-fund manager publicly released confidential boardroom deliberations in two separate salvos last week, people close to the company said. … Mr. Ackman’s actions “crossed the line” and made him a “rogue” director, one of the people said—a term that doesn’t have any legal significance but which highlights the level of some directors’ concerns. It is far from clear that Mr. Ackman has violated his duty in any way, however, and his fellow directors appeared to have few options for isolating him.
Prosecutors and F.B.I. Examine JPMorgan Over Losses (DealBook)
As federal authorities prepare to charge criminally two former JPMorgan Chase employees suspected of misrepresenting a multibillion-dollar trading loss last year, prosecutors in Manhattan are separately exploring ways to penalize the bank over the trading blowup that has come to be known as the “London Whale.” The investigation, according to people briefed on the matter, could yield a fine and a reprimand of the bank for allowing the suspected wrongdoing to occur. Prosecutors at the United States attorney’s office in Manhattan could also force the bank to bolster internal controls that failed to thwart the trading loss.
Eurozone banks need to shed €3.2tn in assets to meet Basel III (FT)
Europe’s biggest banks will have to cut €661bn of assets and generate €47bn of fresh capital over the next five years to comply with forthcoming regulations aimed at reducing the likelihood of another taxpayer funded bailout. The figures form part of an analysis by the UK’s Royal Bank of Scotland – which singles out Deutsche Bank, Crédit Agricole and Barclays as the banks most in need of fresh capital – highlighting that five years on since the financial crisis, Europe’s banks are still “too big to fail”. Overall, the region’s banks need to shed €3.2tn in assets by 2018 to comply with Basel III regulations on capital and leverage, according to RBS.
With I.P.O.’s on the Rise, Analysts Get New Scrutiny (DealBook)
Today, companies routinely interview analysts when selecting bankers to underwrite their I.P.O.’s. During these meetings, the analysts say, they increasingly feel pressure to say the right things to curry favor with a company’s management and owners. They also see themselves as participating in their banks’ efforts to win business, a potential breach of government regulations. The enforcement department of the Financial Industry Regulatory Authority, or Finra, Wall Street’s self-regulatory body, has sent an inquiry asking several firms for information on the issue, said people briefed on the matter who spoke on the condition of anonymity.
Swedish men told to beware testicle-munching fish (Telegraph)
The alert came after a fisherman in the Oresund Sound last week retrieved a 21 centimetre pacu – a relative of the piranha that is most commonly found in the Amazon region. “Keep your swimwear on if you’re bathing in the Sound these days – maybe there are more out there!” cautioned the National History Museum in neighbouring Denmark. The freshwater fish, which can grow up to 90 centimetres and weigh up to 25 kilogrammes, has been nicknamed the “ball cutter” for its attacks on the male genitalia.
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