Recent Posts

Mortgage Meltdown Litigation Pays Hundreds Of Millions To Injured Plaintiffs
Posted on 6 Apr 2012 by LexisNexis Litigation Resource Community Staff

The economy seems to be heading at last into recovery territory, and the mortgage crisis that began in 2007 is starting to seem like old news. But the effects of the lax underwriting standards and other questionable loan practices that spawned the crisis... Read More

Citigroup Inc. To Pay $158 Million To Settle Mortgage Lending Lawsuit
Posted on 16 Feb 2012 by Shane Dilworth

NEW YORK - (Mealey's) Citigroup Inc. on Feb. 15 agreed to pay $158.3 million to resolve a lawsuit brought by the federal government accusing the bank of failing to comply with Housing and Urban Development and Federal Housing Administration regulations... Read More

2nd Circuit Rejects Judge Rakoff's Reasoning In Denying Citigroup Settlement
Posted on 16 Mar 2012 by Kevin M. LaCroix

In a sharply worded March 15, 2012 per curiam opinion ( here ), a three-judge panel of the Second Circuit granted the motions of Citigroup and the SEC to stay district court proceedings in the SEC's enforcement action against the company, so that... Read More

Judge Approves $730 Million Securities Settlement With Citigroup, Shareholders
Posted on 21 Aug 2013 by Timothy Raub

NEW YORK — (Mealey’s) A federal judge in New York on August 20 granted final approval of a securities class action settlement between investors and Citigroup Inc. and others, ruling that the terms of the settlement meet the statutory guidelines... Read More

New York Federal Judge Rejects Settlement Of Citigroup Market Crisis Case
Posted on 1 Dec 2011 by Thomas O. Gorman

"But the S.E.C., of all agencies, has a duty, inherent in its statutory mission, to see that the truth emerges; and if it fails to do so, the Court must not, in the name of deference or convenience, grant judicial enforcement to the agency's... Read More

Judge Preliminarily OKs $590 Million Citigroup Securities Class Action Settlement
Posted on 30 Aug 2012 by Timothy Raub

NEW YORK - (Mealey's) A federal judge in New York on Aug. 29 granted preliminary approval of a $590 million settlement between shareholders, Citigroup Inc. and certain of its current and former executive officers and directors on claims that the defendants... Read More

Judge's Rejection Of Citigroup Settlement Suggests How SEC Might Salvage Situation
Posted on 1 Dec 2011 by Kevin M. LaCroix

In a strongly worded November 28, 2011 opinion ( here ), Southern District of New York Judge Jed Rakoff rejected the proposed $285 million settlement of the enforcement action that the SEC brought against Citigroup Capital Markets. But while he emphatically... Read More

Federal Government, State AGs Reach $25 Billion Agreement With Banks Over Foreclosures
Posted on 9 Feb 2012 by Shane Dilworth

WASHINGTON, D.C. - (Mealey's) The U.S. Department of Justice (DOJ) announced Feb. 9 that the federal government, attorneys general from 49 states and five national banks have reached a $25 billion settlement to resolve issues stemming from the lenders'... Read More

The Week In Securities Litigation: $600 Million Insider Trading Settlement Reached
Posted on 22 Apr 2013 by Thomas O. Gorman

The Second Circuit's pending decision in the Commission's Citigroup market crisis case continues to loom as Judge Marreno approved the over $600 million insider trading settlement involving SAC Capital - conditioned on the outcome of Citigroup... Read More

The Week in Securities Litigation: SEC Issues Record Number Of Trading Suspensions
Posted on 18 May 2012 by Thomas O. Gorman

The Commission issued a record number of trading suspensions for one day this week as part of an on-going effort to prevent microcap manipulations. A House Committee heard testimony from the Director of the Enforcement Division on its long standing policy... Read More

Citigroup Paying $75 Million To Settle Civil Charges
Posted on 29 Jul 2010 by LexisNexis Litigation Resource Community Staff

WASHINGTON, D.C. - (AP) Banking titan Citigroup Inc. is paying $75 million to settle civil charges that it misled investors about its potential losses from subprime mortgages as the housing bust hit in 2007. The Securities and Exchange Commission announced... Read More

California Hospital Sues Citigroup Over Refinancing
Posted on 28 Apr 2010 by LexisNexis Litigation Resource Community Staff

SANTA ANA Calif. – (AP) A northern San Diego County hospital has sued Citigroup for up to $20 million, saying the investment bank failed to disclose the risk of refinancing debt using variable-rate bonds. Oceanside's Tri-City Medical Center... Read More

Tribune Co. Creditors Sue Banks Behind 2007 Buyout
Posted on 31 Oct 2010 by LexisNexis Litigation Resource Community Staff

NEW YORK - (AP) A group of Tribune Co. creditors filed a lawsuit Friday alleging the media company's nearly two-year stint in bankruptcy protection might have been averted if not for the greed of big banks who saddled the business with more debt than... Read More

Wells Fargo To Pay Citi $100M To Settle Wachovia Lawsuit
Posted on 19 Nov 2010 by LexisNexis Litigation Resource Community Staff

NEW YORK - (AP) Wells Fargo & Co. has agreed to pay $100 million to Citigroup Inc. to settle a dispute related to its acquisition of Wachovia Corp. in October 2008, at the height of the financial crisis. Wachovia was teetering on the brink of collapse... Read More

Judge Allows Citigroup CDO Fraud Case To Proceed
Posted on 11 Nov 2010 by LexisNexis Litigation Resource Community Staff

NEW YORK - (AP) A federal judge is allowing a portion of a proposed class-action securities fraud lawsuit against Citigroup Inc., several executives and a board member to go forward. In a ruling filed Tuesday, Judge Sidney H. Stein said. . . . Full version... Read More