The Federal Reserve Board recently ordered JPMorgan Chase & Co. to pay a $61.9 million civil money penalty for unsafe and unsound practices related to the firm’s practice of hiring individuals referred by foreign officials and other clients in order to obtain improper business advantages for the firm.

The board found that the firm’s Asia-Pacific investment bank operated on an improper referral hiring program. The firm offered internships, training and other employment opportunities to candidates who were referred by foreign government officials and existing or prospective commercial clients to obtain improper business advantages. The firm did not have adequate enterprise-wide controls to guarantee the candidates had been properly vetted and hired in accordance with the applicable anti-bribery laws and firm policies.

In compliance with the investigation and the Department of Justice and Securities and Exchange Commission, JPMorgan Chase has been ordered to improve the effectiveness of senior management oversight and controls related to the referral hiring and anti-bribery practices and is prohibited to re-employ or engage with the individuals previously involved.