Citi discovers fraud in Mexican unit; cuts Q4 earnings

|By:, SA News Editor

Citigroup (C) will adjust downward its Q4 results by $235M as a result of a fraud discovered in its Mexican operations. Full year net income will now be $13.7B.

The shennanigans surrounds loans made to a Mexican oil services company (a key supplier to Pemex) through an accounts receivable financing program.

"While Citi's review of these matters is ongoing, Citi believes the fraud is isolated to this particular client."

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