A Los Angeles city councilman called Wednesday for his colleagues to explore ways of punishing banking giant JPMorgan Chase & Co. for engaging in financial misconduct, possibly by terminating the company’s contracts with the city.
Councilman Gil Cedillo, with support from Council President Herb Wesson and Councilman Curren Price, introduced a motion that seeks to determine how much business the city’s pension funds and other agencies have been doing with JPMorgan Chase. The proposal calls for the council‘s lawyers and financial analysts to provide legal options for severing the city’s ties with the company.
Cedillo would not agree to an interview with The Times. His aides released a statement from the councilman, saying that JPMorgan Chase “targeted underserved communities and someone must hold them accountable.”
“By taking a stand in LA, we are sending a signal to other municipal and state government entities around the country,” he said in the statement. “If we want to make sure that banks like JP Morgan do not engage in such improper conduct in the future — they need to realize there is potential to lose business here in the City of LA. “