SEC Said to Plan No Action on Deutsche Bank Mortgage-Bond Losses

By Matt Scully, Bloomberg News

The U.S. Securities and Exchange Commission isn’t planning to bring an enforcement action tied toDeutsche Bank AG’slosing nearly $550 million on mortgage-bond trades, after the lender’s own probe found no evidence of wrongdoing, according to people with knowledge of the findings.

A whistle-blower had told the SEC that a former top trader at the bank, Troy Dixon, had inflated the value of mortgage securities on his books in the years after the 2008 financial crisis and masked losses, Bloombergreportedlast year. The trading losses came in 2013, after Deutsche Bank decided to scale down its exposure ...