(WASHINGTON) — Citigroup has agreed to pay $285 million to settle civil fraud charges that it misled buyers of complex mortgage investments just as the housing market was starting to collapse.
The Securities and Exchange Commission said Wednesday that the big Wall Street bank bet against the deal in 2007 and made $160 million in fees and profits. Investors lost millions.
1 comment:
Fining Citicorp $285 million dollars (when they MADE 160 million) is like fining ME 25 cents for doing 110 in a 35mph zone. What does it REALLY do? It give the government something to point at and say "See? We're on top on those theiving (wink, wink) rip off entities. Its the CONSUMER we look out for!!" In the meantime, Ctiticorp executives told their disbursement clerk to write a check out of the petty cash fund. And of course, keep running those ads in the Wall Street Journal touting your concern and dedication to your investors. No one went to PRISON for fraud that cost American citizens HUNDREDS OF MILLIONS OF DOLLARS? But, just yesterday, DOZENS of Americans were put in jail for the theft of $200 worth of clothes, or stealing a used car worth a few thousand. or writing bad checks to a few stores in their local community. Where IS that goof who said "the system is working?!"
Post a Comment