Citi To Pay $75M Over Subprime Exposure Claims

Law360, New York (July 29, 2010, 3:46 PM EDT) -- Citigroup Inc. has agreed to pay $75 million to resolve U.S. Securities and Exchange Commission allegations that it failed to fully disclose the extent of its subprime mortgage-related asset exposure in 2007.

The SEC announced the penalty and released the claims Thursday. One current and one former executive have also been fined for their alleged roles in causing Citi to make the misleading statements in an SEC filing.

Citi neither admitted nor denied the SEC's allegations in settling the matter.

In response to intense investor interest...
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