CITIGROUP-More Trouble Brewing?

~Citigroup legal problems and investigations gave Citi an excuse to cut investors to the tune of $600 million. Investigation – did Citigroup manipulate foreign currency prices. So, it looks like CITI is looking at more penalties. Citi is going for a deal to settle with the British regulators by the end of November the Citi will have to face off with Washington regulators.
 When a bank becomes too large and complex for investors to track its strength – certainly gives more credibility to downsizing which banks are against – after all, being too big to control causes confusion.
 Confusion creates the open gates for irresponsibility of tracking the money.
 Citigroup should be getting use to investigations, penalties, fines, fraud etc. Another, the $400 million fraud in Citi’s Mexican bank involving oceanography. The Mexican review of the fraud found that Citigroup must pay $2.2 million fine and Citi must put in a plan of action to correct this corruption. Citigroup’s business with Russia stemming from its credit risk has put a dent in Citi’s ambition to expand its business in Russia.
 Citigroup made a $7 billion settlement this year for misrepresenting residential mortgage-backed securities which threw the country and homeowners into turmoil in 2008. Foreclosure and homeowner’s litigations after almost 7 years is ongoing.
 While CITI, even with all its investigation, penalties, fines, frauds, agreements, settlements, highrolling executive bonuses, compensations – still roles in the alleged scams, schemes of highrollers, the homeowners are left to struggle from the illegal conduct of Citigroup and their offspring entities such as Citimortgage. So let’s see, Citi is reporting their expenses this year so far as $6.4 billion in litigations to just defend their misconduct and investigation of fraud abuse or agree on some kind of settlement to avoid litigation.
 Citigroup said it’s legal expenses went up 40% to 951 million from last year. This is just a quarterly amount of 1.5 billion for legal provisions people. Does this prove crime does pay? Tax write offs for Citigroup expense – recap a moment. Citi fined $7 billion (made a settlement) for settling toxic mortgage-backed securities – had two different cases of fraud in its Mexican banks – Citi investigated by the Swiss competition commission – being investigated by the criminal and antitrust Department of Justice division and the CFTC (commodity futures trading commission) – now, investigation of manipulating the foreign exchange market. Investigations by UK and US regulators.
So, Citigroup puts aside 600 million for legal fees recently – not a problem – Citi is looking to make “28 billion in pretax profits” in a little over the next year. So, the 600 million for legal expenses set aside to cover their latest corruption activities is mere chicken feet. Tim Geithner was part of passing of billions of US tax dollars to bailout Citigroup – now, look how far they have come to leap tall buildings. Citigroup will not tell how much they have stashed away for future legal expense but according to the Bernstein Research Analysts, their “reserves” was 2.5 billion. Citigroup filed with the SEC estimate legal cost 5 billion. But then, CITI still has possible settlements of money-laundering, fraudulent loans and “rogue trading” by the Feds investigation. From all Citigroup big corruption, scandals – foreign and domestic – no wonder CIti just hires more foreclosure mills for little ‘ol pissant homeowners. For homeowners, it’s a harsh deal to fight Citigroup’s corruption to take their homes but for CITI – Citimortgage – it becomes just a shakedown.
 A little toy in their sandbox and to think it was these little “pissant” taxpayers that pulled Citigroup out of the bankruptcy mud. Most thanks to the then, Sec. of Treasury, Tim Geithner who dismissed the needs of homeowners and looked to the best interest of saving Citigroup. Check out a book by an FDIC person who was there – “Bull by the Horns”.
The contributor is not an attorney and the article is not intended to give advice.
Citigroup legal problems and investigations gave Citi an excuse to cut investors to the tune of $600 million. Investigation – did Citigroup manipulate foreign currency prices. So, it looks like city is looking at more penalties. Citi is going for a deal to settle with the British regulators by the end of November the city will have to face off with Washington regulators.
 When a bank becomes too large and complex for investors to track its strength – certainly gives more credibility to downsizing which banks are against – after all, being too big to control causes confusion.
 Confusion creates the open gates for irresponsibility of tracking the money.
 Citigroup should be getting use to investigations, penalties, fines, fraud etc. Another, the $400 million fraud in Citi’s Mexican bank involving oceanography. The Mexican review of the fraud found that Citigroup must pay $2.2 million fine and Citi must put in a plan of action to correct this corruption. Citigroup’s business with Russia stemming from its credit risk has put a dent in Citi’s ambition to expand its business in Russia.
 Citigroup made a $7 billion settlement this year for misrepresenting residential mortgage-backed securities which threw the country and homeowners into turmoil in 2008. Foreclosure and homeowner’s litigations after almost 7 years is ongoing.
 While CITI, even with all its investigation, penalties, fines, frauds, agreements, settlements, highrolling executive bonuses, compensations – still roles in the alleged scams, schemes of highrollers, the homeowners are left to struggle from the illegal conduct of Citigroup and their offspring entities such as Citimortgage. So let’s see, Citi is reporting their expenses this year so far as $6.4 billion in litigations to just defend their misconduct and investigation of fraud abuse or agree on some kind of settlement to avoid litigation.
 Citigroup said it’s legal expenses went up 40% to 951 million from last year. This is just a quarterly amount of 1.5 billion for legal provisions people. Does this prove crime does pay? Tax write offs for Citigroup expense – recap a moment. Citi fined $7 billion (made a settlement) for settling toxic mortgage-backed securities – had two different cases of fraud in its Mexican banks – Citi investigated by the Swiss competition commission – being investigated by the criminal and antitrust Department of Justice division and the CFTC (commodity futures trading commission) – now, investigation of manipulating the foreign exchange market. Investigations by UK and US regulators.
So, Citigroup puts aside 600 million for legal fees recently – not a problem – Citi is looking to make “28 billion in pretax profits” in a little over the next year. So, the 600 million for legal expenses set aside to cover their latest corruption activities is mere chicken feet. Tim Geithner was part of passing of billions of US tax dollars to bailout Citigroup – now, look how far they have come to leap tall buildings. Citigroup will not tell how much they have stashed away for future legal expense but according to the Bernstein Research Analysts, their “reserves” was 2.5 billion. Citigroup filed with the SEC estimate legal cost 5 billion. But then, CITI still has possible settlements of money-laundering, fraudulent loans and “rogue trading” by the Feds investigation. From all Citigroup big corruption, scandals – foreign and domestic – no wonder CIti just hires more foreclosure mills for little ‘ol pissant homeowners. For homeowners, it’s a harsh deal to fight Citigroup’s corruption to take their homes but for CITI – Citimortgage – it becomes just a shakedown.
 A little toy in their sandbox and to think it was these little “pissant” taxpayers that pulled Citigroup out of the bankruptcy mud. Most thanks to the then, Sec. of Treasury, Tim Geithner who dismissed the needs of homeowners and looked to the best interest of saving Citigroup. Check out a book by an FDIC person who was there – “Bull by the Horns”.
The contributor is not an attorney and the article is not intended to give advice.