June 5 Citigroup Inc has engaged law firm
Willkie Farr & Gallagher to supervise the U.S. bank's
investigation into loans made at its Mexican unit Banamex, the
Wall Street Journal said on Thursday.
The bank reached out to the law firm "immediately" after
being made aware of the losses, the paper reported, citing a
spokesman for the company's board. (link.reuters.com/sep89v)
Citigroup, the third-largest bank by assets in the United
States, said in February it had discovered some $400 million in
fraudulent loans at Banamex, prompting the bank to reduce its
2013 profit by $235 million.
Citi has fired four senior executives and seven other
employees in relation to the incident, saying they had failed to
protect the bank from loan fraud at Banamex.
A Citigroup spokesman declined to comment. Willkie Farr &
Gallagher was not immediately available for comment.
(Reporting by Narottam Medhora in Bangalore and Daniel Levine
in San Francisco; Editing by Mohammad Zargham)