The New York Times reports that JP Morgan hired the sons and daughters of high level Chinese officials in order to buy access and to generally curry favor in the land of the Red Dragon.
I just can’t believe it. There’s shadiness and outright corruption in the Chinese banking system?
Apparently the Justice Department is looking into JP’s hiring practices in China as its general investigation of the bank continues. The Obama administration is making sure the bank isn’t engaging in cronyism in violation of the Foreign Corrupt Policies Act.
Now in the United States cronyism is totally cool, but if a bank which didn’t give Obama the donations he expected during the last election is engaged in it in China, then it is time to take a closer look.
Read the rest of the story at Against Crony Capitalism.