JPM To Pay 'Wristslap Fine' in Misuse of Customer Segregated Funds at Lehman Brothers

JPM extended a significant amount of credit to Lehman Brothers prior to their collapse.

In extending the credit, JPM assumed that the customer money that was being held by Lehman Brothers could be freely used by the firm, and therefore was a legitimate part of its valuation. The comparison to MF Global is obvious.

In other words, if MF Global had not failed to meet its margin call and gone