By Nate Raymond NEW YORK (Reuters) - JPMorgan Chase & Co has agreed to pay $150 million to resolve a securities fraud lawsuit by investors suing the bank over its "London Whale" trading scandal, which caused a $6.2 billion loss. The settlement was disclosed in papers filed on Friday in federal court in Manhattan and would resolve a class action lawsuit filed in the wake of the scandal that emerged in 2012. The lawsuit stemmed from oversight by JPMorgan's Chief Investment Office of a synthetic credit portfolio that caused the $6.2 billion loss and was linked to traders in the bank's London office including Bruno Iksil, the so-called London Whale. Shareholders accused JPMorgan of knowingly hiding increased risks at the Chief Investment Office, including on an April 13, 2012, conference call when JPMorgan Chase & Co Chief Executive Officer Jamie Dimon called reports about the synthetic portfolio a "tempest in a teapot." The settlement covers anyone who bought JPMorgan stock from April 13 to May 21, 2012, a time when JPMorgan's share price fell by roughly one-quarter and wiped out more than $40 billion of market value. The lawsuit was spearheaded by pension funds in the U.S. states of Arkansas, Ohio and Oregon and in Sweden. Ohio Attorney General Mike DeWine in a statement on Monday said the deal would help the state's Ohio Public Employees Retirement System recover its losses and discourage future fraud. "Misleading investors with wrong or incomplete information is unacceptable and causes real damage," DeWine said. A spokeswoman for JPMorgan did not immediately respond to a request for comment. JPMorgan paid more than $1 billion and admitted wrongdoing to settle U.S. and British probes into London Whale losses. Former traders Javier Martin-Artajo and Julien Grout have been criminally charged in the United States with hiding losses linked to Iksil, who has been cooperating with prosecutors. The cases is In re: JPMorgan Chase & Co Securities Litigation, U.S. District Court, Southern District of New York, No. 12-03852. (Reporting by Nate Raymond in New York; Editing by Chizu Nomiyama and Will Dunham)
JPMorgan Chase has agreed to pay $150m to settle a lawsuit stemming from the "London Whale" scandal. The bank admitted in 2012 that it had sold derivatives based on bets made by its traders against other banks and countries. The Ohio Public Employees Retirement Systems said it lost about $2.5m as a result of the incident. JPMorgan, which did not admit wrongdoing as it settled, declined to comment; it had reserved for the settlement earlier this year. So far, JPMorgan has paid over $1bn to settle US and UK probes into London Whale losses.