A Manhattan judge is questioning whether Citigroup's (C ) proposed $590M settlement of a...

|About: Citigroup Inc. (C)|By:, SA News Editor

A Manhattan judge is questioning whether Citigroup's (C ) proposed $590M settlement of a shareholder lawsuit alleging a corporate coverup of billions in subprime-related losses is fair. At issue is whether former Citi officials should be absolved from financial responsibility. Judge Sidney Stein posed the following question to both the defendant and the plaintiffs: "Does the absence of any payments from the individual defendants render the settlement unfair to class members who still hold Citigroup stock they purchased during the class period?"