Dive Summary:

• The probe is being investigate by the Federal Energy Regulatory Commission (FERC) on California’s behalf and involves business done at the California Independent System Operator (ISO), which is an agency whose computerized trading floor is at the center of the state’s $8 billion annual electricity market.
• New powers granted to the ISO by the federal government have allowed it to retrieve $20 million from JPMorgan, while the remaining $53 million in questionable earnings can only be retrieved if the FERC proves wrongdoing.
• The FERC is also investigating whether JPMorgan manipulated markets at the Midwest Independent Transmission System Operator, a multi-state agency comparable to California’s ISO.

From the article:

It's been a decade since companies like Enron Corp. manipulated California's electricity market to generate billions in excess profits.

Enron went out of business long ago, and California's energy market has been a place of relative calm. Now, however, another big power trader is being investigated for allegedly gaming the state's electricity system. ...