Carl Levin

Does it pose special risk because there is no tangible asset or revenue stream to stop losses?

Prior to that time, had you received regular information about the SCP portfolio?

And that a $660 million error is material.

And I would hope that the guidance that you and other folks would give would be against tweaking, but being whatever is accurate.

The higher-risk activities where?

So there intention--was not an intention, you said, on an ongoing basis to optimize the book.

But it was a violation of the bank's policy.

Therefore, do not say things like that in writing.

Is it appropriate to set goals to achieve RWA reductions by affecting how the models calculate the results?

Shouldn't investors have known during that call that the current status of the SCP was not great, it was losing a lot of money, huge positions that it had were hard to exit, it had been violating all five risk limits?

You said that when you saw this document... last April, that you relied on the 'central scenarios included on that page describing an 80 [percent] likelihood.'

So you were very comfortable with the position you were in under those three central scenarios, showing you losing money under a New Financial Crisis--right?--of $250 million.

You think the average person listening to this would not think you were referring to the trades that were at issue that blew up?

All of those decisions are made on a very long-term basis.

It turned out that was not true.

They did not get the detailed positions regularly.

So what you said is not exactly accurate on that day. Is that correct?

Well, I want you to look at Exhibit 1g.

The operational problems--the spreadsheets, the lack of an automated database, the calculation and formula errors which lower these VaR results--were shocking and absolutely unacceptable.

That was the purpose?

Was it a coincidence that the way in which those marks were made changed to reduce the losses on the books at the time those losses were piling up?

I am not talking about what is on the tapes. I am talking about the shift in the way these marks are made.

All right. So that this is wrong, this email is wrong. Is that correct?

The bank stopped sending the Investment Bank's daily profit and loss (P&L) data to the OCC.

It was Mr. Dimon who was responsible for directing the data cutoff.