This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/business-28292114
The article has changed 4 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| Citigroup pays $7bn to settle sub-prime mortgage probe | |
| (35 minutes later) | |
| Banking giant Citigroup will pay $7bn (£4bn) to US authorities to settle an investigation into risky sub-prime mortgages. | Banking giant Citigroup will pay $7bn (£4bn) to US authorities to settle an investigation into risky sub-prime mortgages. |
| Citigroup will pay $4bn (£bn) to the Department of Justice and $2.5bn for "consumer relief". | Citigroup will pay $4bn (£bn) to the Department of Justice and $2.5bn for "consumer relief". |
| Consumer relief includes investment in affordable homes and mortgage relief. | Consumer relief includes investment in affordable homes and mortgage relief. |
| The settlement stems from the sale of securities made up of sub-prime mortgages, which were at the centre of the 2008 financial crisis. | The settlement stems from the sale of securities made up of sub-prime mortgages, which were at the centre of the 2008 financial crisis. |
| Citigroup is the second major bank to pay a settlement since an investigation into the loans. | Citigroup is the second major bank to pay a settlement since an investigation into the loans. |
| JPMorgan Chase paid $13bn last year to settle government investigations. | JPMorgan Chase paid $13bn last year to settle government investigations. |
| The Citigroup fines are said to have surprised stock analysts and people inside the bank, who had hoped to settle for less. | |
| According to the US Attorney General, Eric Holder, "under the terms of this settlement, the bank has admitted to its misdeeds in great detail". | According to the US Attorney General, Eric Holder, "under the terms of this settlement, the bank has admitted to its misdeeds in great detail". |
| He said the settlement "does not absolve Citigroup or its employees from facing any possible criminal charges in the future". | He said the settlement "does not absolve Citigroup or its employees from facing any possible criminal charges in the future". |