Bangladesh, Feb. 2 -- A whistleblower has come forward with serious allegations against JPMorgan Chase, claiming that the largest bank in the United States violated crucial cash reserve rules designed to protect the financial system. The allegations, which suggest that JPMorgan Chase deliberately understated its risk to minimize its required capital reserves, have reignited concerns about regulatory oversight and financial stability. Senator Elizabeth Warren has voiced concerns that the Federal Reserve may be complicit in turning a blind eye to this misconduct.

According to the whistleblower, a former JPMorgan Chase banker, the bank engaged in a prohibited practice known as “netting.” This process allowed JPMorgan to underrep...