Federal Regulators Hit Citigroup With $400 Million Fine
Federal banking regulators have slapped Citigroup (NYSE: C) with a $400 million civil penalty for what they call its its "long-standing" failure to address and enhance firmwide controls related to compliance, data, and risk management.
The fine came from the U.S. Office of the Comptroller of the Currency (OCC), which regulates national banks. The OCC also issued a cease-and-desist order, mandating that the bank receive the OCC's "non-objection" before making important acquisitions such as portfolio or business acquisitions. The order also gives the OCC the right to implement further restrictions or prescribe changes regarding senior management or the bank's board.
The OCC's order was accompanied by a separate order from the Federal Reserve that is being issued in concurrence.
Source Fool.com