JPM, Citi face US probes in international business

Adam Jeffery | CNBC

Two of the nation's largest banks, JPMorgan Chase and Citigroup, disclosed Friday they are under wider scrutiny by U.S. agencies for their international operations.

Citigroup, the U.S. bank with the biggest international business, said U.S. and authorities from other jurisdictions are investigating its foreign-exchange trading.

JPMorgan disclosed that the U.S. Justice Department and agencies from other jurisdictions are investigating hiring practices in Hong Kong that were already being probed by the Securities and Exchange Commission.

Citigroup has put its chief currency dealer in London on leave, it was reported earlier this week, in an action that mirrors developments at a number of banks based in Europe, as well as at JPM, the biggest U.S. bank.

(Read more: JPMorgan puts chief currency trader on leave)

The actions come amid investigations by regulators of possible manipulation of currency markets.

Citigroup is the third-biggest U.S. bank by assets. The company sees its foreign exchange desks as an important complement to the payment and cash management services it sells to multinational companies.

The companies made the statements in quarterly filings with the SEC.

(Read more: Big banks are looking to dump commodities unit)

—By Reuters with