Jamie Dimon Made $21 Million Last Year

The Financial Times reports that American and European banking CEO pay went up by 36 percent in 2010. Jamie Dimon, JPMorgan Chase CEO, made $21 million in 2010.

JPMorgan Chase had to pay a $722 million fine to the SEC for attempting to brides for bonds scandal. JPMorgan Chase tried to bride politicians in Jefferson County, Alabama. JPMorgan Chase also hired inexperienced young people to deal with mortgages. The young workers were labeled the "Burger King kids."

And even when banks did begin hiring to deal with the avalanche of defaults, they often turned to workers with minimal qualifications or work experience, employees a former JPMorgan executive characterized as the “Burger King kids.” In many cases, the banks outsourced their foreclosure operations to law firms like that of David J. Stern, of Florida, which served clients like Citigroup, GMAC and others. Mr. Stern hired outsourcing firms in Guam and the Philippines to help.

The law firm of David J. Stern filed false foreclosure claims. The actual David J. Stern is under investigation and is a rather mysterious man.

Ask yourself if Jamie Dimon skills as a CEO is worthy of $21 million.

David J. Stern Update

I blogged about the law firm of David J. Stern being caught falsifying foreclosure documents. Foreclosure judges are more concerned with speeding the process than reviewing the documents. This has allowed for homeowners to be illegally evicted from their homes.

After the story broke, Stern mysteriously fired his employees. Since Stern has one of the largest foreclosure law firms in Florida, the courts have been at a standstill. Former employees of Stern's are now suing. A total of 700 employess are suing.

The lawsuit claims Stern was suppose to give his employees 60 days notice. The WARN Act requires that Stern file that he gave his employees 60 days warning. Stern files termination paperwork, much like foreclosure documentation. The paperwork's dates are fudged.

Stern is the CEO of DJSP Enterprises.

As employees were being let go, DJSP Enterprises filed a WARN notice Nov. 9 saying that 435 people were being terminated between Nov. 4 and Nov. 12.

"They belatedly filed a document that purports to be compliant with the WARN notice [requirement]," said attorney Gary Farmer, who filed the lawsuit along with Dawn Rapoport and Chandra Parker Doucette. Farmer said the notice is "worthless" because employees were not given 60 days' notice ahead of time.

WARN notices are required for any for-profit or non-profit companies with 100 or more employees.

In related news: Stern resigned as CEO of DJSP Enterprises. DJSP is short for David J. Stern Enterprise. The company was a mortgage and real estate processing offshoot for Stern's law firm. Stern's law firm is now being investigated by the Florida Attorney General's office.

DJSP stock is at 47 cents. DJSP and Stern's law firm are folding. Expect Stern to file for bankruptcy to get out of paying claims from the lawsuit.

Update: DJSP defaulted on a $12 million line of credit set up by Bank of America. I am not sure if DJSP owes the entire $12 million or only money set up from the BOA credit account. Money and interest is only paid from money withdrawn from line of credit accounts. I am uncertain if DJSP took out $12 million or the line of credit account held that amount of money.