SEC probes Citi on mortgage securities deal

first_img SEC probes Citi on mortgage securities deal KCS-content Thursday 18 November 2010 7:29 pm THE US Securities and Exchange Commission (SEC) is investigating Citigroup’s role in a $1bn mortgage-backed securities deal in 2007.Citigroup “improperly pushed an independent manager to put specific assets” in a collateralised debt obligation (CDO) it created in February 2007. The deal, which was backed by other CDOs that were backed by slices of subprime mortgages, was managed by Credit Suisse Alternative Capital.Citigroup said in a regulatory filing earlier this month that it “continues to cooperate fully in response to subpoenas and requests for information from the Securities and Exchange Commission”.Spokeswoman Danielle Romero-Apsilos declined to comment on the specific probe yesterday but said in an email: “It’s been widely reported that there are ongoing industry-wide investigations into CDO-related matters.”Shareholders have also sued Citigroup over its CDOs and other securities, claiming the bank knowingly misled them about the value of and risk related to the securities.A judge dismissed parts of the lawsuit earlier this month, but allowed the investors to pursue some of their CDO-related claims. whatsapp by Taboolaby TaboolaSponsored LinksSponsored LinksPromoted LinksPromoted LinksYou May LikeMisterStoryWoman Files For Divorce After Seeing This Photo – Can You See Why?MisterStoryTotal PastThe Ingenious Reason There Are No Mosquitoes At Disney WorldTotal PastMoneyPailShe Was A Star, Now She Works In ScottsdaleMoneyPailWanderoamIdentical Twins Marry Identical Twins – But Then The Doctor Says, “STOP”WanderoamSerendipity TimesInside Coco Chanel’s Eerily Abandoned Mansion Frozen In TimeSerendipity TimesNoteabley25 Funny Notes Written By StrangersNoteableyZen HeraldNASA’s Voyager 2 Has Entered Deep Space – And It Brought Scientists To Their KneesZen HeraldHistorical GeniusHe Was The Smartest Man Who Ever Lived – But He Led A Miserable LifeHistorical GeniusMagellan TimesThis Is Why The Roy Rogers Museum Has Been Closed For GoodMagellan Timescenter_img whatsapp Read This NextRicky Schroder Calls Foo Fighters’ Dave Grohl ‘Ignorant Punk’ forThe WrapCNN’s Brian Stelter Draws Criticism for Asking Jen Psaki: ‘What Does theThe WrapDid Donald Trump Wear His Pants Backwards? Kriss Kross Memes Have AlreadyThe WrapHarvey Weinstein to Be Extradited to California to Face Sexual AssaultThe WrapPink Floyd’s Roger Waters Denies Zuckerberg’s Request to Use Song in Ad:The Wrap’The View’: Meghan McCain Calls VP Kamala Harris a ‘Moron’ for BorderThe Wrap’Sex and the City’ Sequel Series at HBO Max Adds 4 More ReturningThe WrapNewsmax Rejected Matt Gaetz When Congressman ‘Reached Out’ for a JobThe Wrap2 HFPA Members Resign Citing a Culture of ‘Corruption and Verbal Abuse’The Wrap Share Show Comments ▼ Tags: NULLlast_img read more