Asia-Pacific News

Controversial hiring at J.P. Morgan's China unit: WSJ

People pass a sign for JPMorgan Chase & Co. at it's headquarters in Manhattan.
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The head of Hong Kong's stock exchange, Charles Li, recommended hiring children and acquaintances of top Chinese officials while he was Chairman at the China unit of J.P. Morgan Chase, according to a Wall Street Journal report.

According to the report, people familiar with the incident said that Li had exerted his influence to recommend the sons and daughters of influential figures in China for J.P. Morgan's highly sought after internships and contract positions in the region.

Li was chairman of J.P. Morgan China between 2003 and 2009.

In emails to his colleagues, that were verified by the Wall Street Journal, Li worked to keep the balance between pushing for relationship-building hires and maintaining the needs of the bank.

J.P. Morgan, as well as other banks, are currently under investigation by U.S. and Hong Kong regulators, who are trying to determine if they engaged in controversial hiring practices in order to win business in Asia.

Read the full report here.