TV News LIES

Sunday, Mar 29th

Last update11:06:57 PM GMT

You are here News Economy Citigroup reports nearly $400m fraud in Mexico unit

Citigroup reports nearly $400m fraud in Mexico unit

E-mail Print PDF

Citigroup reports fraudCitigroup Inc (C.N) said on Friday that it has discovered at least $400 million in fraudulent loans in its Mexico subsidiary and said employees may have been in on the crime.

The bank wrote down bogus loans to a company whose assets Mexican law enforcement officials have now seized. Citigroup's 2013 profit fell by $235 million to $13.67 billion after the write-down. Citigroup Chief Executive Officer Michael Corbat called the incident a "despicable crime" and said the bank believes it was an isolated episode.

The bad loans were made to Mexican oil services company Oceanografia OCNGR.UL, a contractor for Mexican state-owned oil company Pemex PEMX.UL.

Oceanografia borrowed from Citigroup's Mexican unit, Banco Nacional de Mexico, known as Banamex, using expected payments from Pemex as collateral.

In recent weeks, Banamex learned that Oceanografia appeared to have falsified invoices to Pemex that were collateral for loans, Corbat said in a separate memo to employees. The bank wrote down about $400 million of loans backed by the bogus invoices.

More...


Most Recent Related Stories...


Exposing America's Billionaire Welfare Ranchers

billionaire welfare ranchersAmericans love ranchers: Gritty ranchers, mom-and-pop ranchers, renegade ranchers — especially those who raise livestock on...

$10 Million Subsidy Allows Time Inc. To Cut Over 900 Jobs With No Penalty

Time, Inc.Despite being given a $10 million job-creation subsidy by New York State, Time Inc. will still...

AIG investors' $970.5 million settlement wins U.S. court approval

AIG settlementAmerican International Group Inc (AIG.N) shareholders won approval on Friday of a $970.5 million settlement resolving...

Obama to announce changes for student loan repayment

Obama to change student loan repaymentsPresident Barack Obama is slated to speak to students at Georgia Tech on Tuesday about how...
 
America's # 1 Enemy
Tee Shirt
& Help Support TvNewsLIES.org!
TVNL Tee Shirt
 
TVNL TOTE BAG
Conserve our Planet
& Help Support TvNewsLIES.org!
 
Get your 9/11 & Media
Deception Dollars
& Help Support TvNewsLIES.org!
 
The Loaded Deck
The First & the Best!
The Media & Bush Admin Exposed!