US to sue Citigroup over faulty mortgage bonds: sources
Credit: Reuters/Mike Segar
A Citibank sign on a bank branch in midtown Manhattan, New York, November 17, 2010.
The report, which cited a person familiar with the investigation, said that talks broke off between the bank and prosecutors on June 9.
Citigroup shares were down 1.7 percent for the day in New York trading following the report.
A Citigroup spokesman declined to comment.
Reuters reported in December that the Justice Department was preparing a civil fraud lawsuit against the bank that alleged investors lost tens of billions of dollars on the securities at issue.
(Reporting by David Henry in New York and Aruna Viswanatha in Washington, D.C.)
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