Citigroup Reports $400M Fraud In Mexico Unit, Lowers Results

Law360, Los Angeles (February 28, 2014, 10:42 PM EST) -- Citigroup Inc. said Friday that it was lowering its 2013 profits after learning that its Mexico subsidiary was the victim of fraud allegedly perpetrated by a Mexican oil services company to secure $400 million in loans. 

The bank said it had to cut its fourth-quarter and full-year 2013 financial results by an after-tax sum of $235 million after discovering that its Mexico subsidiary, Banamex, made about $400 million in loans to oil services firm Oceanografia SA based on fraudulent invoices. The alleged fraud will lower Citigroup's...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.