JPMorgan finds some workers improperly pocketed relief funds

JPMorgan Chase & Co. found that some of its employees improperly applied for and received Covid-relief money that was intended for legitimate U.S. businesses hurt by the pandemic, according to a person with knowledge of the matter. The bank discovered the actions, all of which were tied to the Economic Injury Disaster Loan program, after noticing that suspicious amounts of money had been deposited into checking accounts owned by bank employees, said the person, who asked not to be identified because the information is private. The findings of employee misconduct came in a broader sweep of individual accounts that received business aid, the person said, noting the bank fired people it believes improperly tapped the money. The nation’s largest bank sent a memo to roughly 256,000 employees Tuesday in which senior leaders said they were probing whether any staffers helped people misuse aid programs including “Paycheck Protection Program Loans, unemployment benefits and other government programs.” The firm had said it identified conduct by customers that didn’t meet its principles and “may even be illegal” and that some employees had fallen short on ethical standards, too. The firm’s leaders decided to send the memo to highlight the widespread abuse of relief programs they’d found, the person said, and the message asked employees to report any unethical activity they’d witnessed.