Citigroup to Pay $730 Million in Bond-Lawsuit Settlement

Citigroup Inc., the third-largest U.S. bank by assets, agreed to pay $730 million to settle claims it misled debt investors about its condition during the financial crisis.

The deal would resolve a lawsuit by investors who bought Citigroup bonds and preferred stock from May 2006 through November 2008, the New York-based lender said yesterday in a statement. The accord requires court approval and would be covered by existing litigation reserves, the bank said.

via Citigroup to Pay $730 Million in Bond-Lawsuit Settlement – Businessweek