Citigroup to pay $7bn to settle risky sub-prime mortgages caseJuly 14, 2014 - 18:37 AMT PanARMENIAN.Net - Banking giant Citigroup will pay $7bn to U.S. authorities to settle an investigation into risky sub-prime mortgages, BBC News reports. Citigroup will pay $4bn to the Department of Justice and $2.5bn for "consumer relief", the latter including investment in affordable homes and mortgage relief. The settlement stems from the sale of securities made up of sub-prime mortgages, which were at the center of the 2008 financial crisis. Citigroup is the second major bank to pay a settlement since an investigation into the loans. JPMorgan Chase paid $13bn last year to settle government investigations. The Citigroup fines are said to have surprised stock analysts and people inside the bank, who had hoped to settle for less. According to the U.S. Attorney General, Eric Holder, "under the terms of this settlement, the bank has admitted to its misdeeds in great detail". He said the settlement "does not absolve Citigroup or its employees from facing any possible criminal charges in the future". Top stories Yerevan has dismissed Turkey’s demand to shut down the Armenian nuclear power plant as “inappropriate”. Armenia will loan 2.9 billion drams to Nagorno Karabakh (Artsakh), according to a draft government decision. The Ministry of Ecology and Natural Resources of Azerbaijan has “strongly condemned” Armenia’s decision. Kerobyan has said that for the first time in the history of Armenia, the volume of foreign direct investments amounted to about $1 billion. Partner news | Biden honors resilience of Armenian people on April 24 U.S. President Joe Biden has issued a statement on the 109th anniversary of the Armenian Genocide. Ex-Karabakh leader moved to solitary confinement cell in Baku, his son says David Vardanyan is the son of former Karabakh leader Ruben Vardanyan who who is currently imprisoned in Azerbaijan. Macron says France commemorates 109th anniv. of Armenian genocide Today France commemorates the 109th anniversary of the Armenian genocide of 1915, Macron says. Freedom House concerned by mounting reports of police violence in Armenia Freedom House urged Armenian authorities to investigate this pattern of excessive force and inhumane treatment. |