FBI Probe of JPMorgan Fees Focuses on Swaps Roiling Muni Debt
Bloomberg.com / William Selway and Martin Z. Braun

Financings arranged by JPMorgan and other banks are forcing hundreds of public agencies to spend billions of dollars they don't have to pay for increased interest payments and penalties... JPMorgan lured municipalities into derivative deals by offering upfront cash payments in exchange for a pledge by the local government to agree to enter interest-rate swaps with the bank at a future date.

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