News

Citi to pay $7B to settle federal investigation

Citi to pay $7B to settle federal investigation

CITI:Citigroup said on Monday it would pay a total of $4.5 billion in cash and provide $2.5 billion in consumer relief. Photo: Reuters

(Reuters) – Citigroup Inc said it agreed to pay $7 billion to settle a U.S. government investigation into mortgage-backed securities the bank sold in the run-up to the 2008 financial crisis.

Citigroup said on Monday it would pay a total of $4.5 billion in cash and provide $2.5 billion in consumer relief.

The bank said it would take a related pre-tax charge of about $3.8 billion in the second quarter.

The settlement figure was more that twice what many analysts expected earlier this year but less than the $12 billion the government had sought in negotiations with the bank.

(Reporting by Anil D’Silva in Bangalore; Editing by Saumyadeb Chakrabarty)

Local Headlines

in Local

Backyard Bach and Blues “Island Hopping”

aog

Tickets for the August 8th event are $40 for Arts on Grand Members and $50 for nonmembers...

in Local

Spencer Project Updates

News CitySpencer1240

An update on a pair of Spencer projects.

in Local

Mental Health Institutes Situation

branstad

Over 5000 petition signatures are delivered to the Governor to keep two Mental Health Institutes open.

in Local

Levin Sentence Review Denied

courtnews1240

An Early man serving a life sentence in a 2013 murder case, has a review of the case denied.

in Local

Law Enforcement Report

lawenforcement1240

A Jackson woman faces charges in connection to a threat to kill someone with knives.