Defendant Name:
Citigroup Global Markets Inc.
Defendant Type:
Subsidiary of Public Company
Document Reference:
2017-35
Document Details
Legal Case Name
In the Matter of Citigroup Global Markets, Inc.
Document Name
Citigroup Paying $18 Million for Overbilling Clients
Document Date
26-Jan-2017
Document Format
Administrative Proceeding
Allegation Type
Investment Advisers/Investment Companies
Document Summary
On January 26, 2017 the SEC announced in a press release that Citigroup Global Markets has agreed to pay a monetary penalty to settle charges that it overbilled investment advisory clients and misplaced client contracts. According to the SEC: "at least 60,000 advisory clients were overcharged approximately $18 million in
unauthorized fees because Citigroup failed to confirm the accuracy of billing rates entered into its computer systems in comparison to fee rates outlined in client contracts, billing histories, and other
documents. Citigroup also improperly collected fees during time periods when clients suspended their
accounts. The billing errors occurred during a 15-year period, and the affected clients have since been
reimbursed."
Disgorgement & Penalty Information
Resolutions
Cease and Desist Order
Censured
Other Compliance Related Undertaking