JPMorgan Chase Is No Fan of Latest Obama Plan to Stem Foreclosures


JPMorgan Chase CEO Jamie Dimon was once a golden boy in Washington. After his bank emerged relatively unscathed from the subprime meltdown, Dimon was an enthusiastic supporter of the government's bailout plans. The lifelong Democrat was a member of Barack Obama's unofficial brain trust during the 2008 presidential campaign, and his name was even floated as a potential Treasury Secretary. In the thick of the financial turmoil in February 2009, President Obama held out JPMorgan as an example of a well-managed bank.

These days the praise on both sides has grown more restrained as the president and the banker clash over financial reform and foreclosure prevention.

The gloves came off entirely Tuesday in testimony before the House Committee on Financial Services. David Lowman, Dimon's lieutenant and the CEO of Chase's home lending, argued strongly against a cornerstone of the Obama Administration's plan to help homeowners facing foreclosure.