NYC Judge Rejects $285M SEC-Citigroup Agreement.

[elleng]

A federal judge in New York has struck down a $285 million settlement that Citigroup reached with the Securities and Exchange Commission, citing a need for truth about the financial markets.

Judge Jed Rakoff rejected the settlement Monday. The deal would have imposed penalties on Citigroup even as it allowed the company to deny allegations that it misled investors on a complex mortgage investment. The SEC has accused the bank of betting against the investment in 2007 and making $160 million, while investors lost millions.

The judge wrote that there is an overriding public interest in knowing the truth about the financial markets. He set a July 16 trial date for the case.

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Judge Rakoff's been reflecting the public interest throughout this litigation, and has come through.
That's all there is, to this story, at the moment.

http://www.nytimes.com/aponline/2011/11/28/business/AP-US-SEC-Citigroup.html?_r=1

[Lint Head]

1. Good!

[JDPriestly]

2. I hope that the higher courts uphold his judge.

The public is affected by what has happened on Wall Street and has a right to know. A trial should be held.

[MannyGoldstein]

3. Will this panic in the White House and Congress?

This will be interesting to watch.

[2pooped2pop]

4. thank you, Judge n/t