New York State is getting $182 million as part of a $7 billion settlement against Citigroup.
The long awaited deal between federal prosecutors and Citigroup settles allegations that Citi knew it was selling mortgage-backed securities that were about to go bad, but said nothing about it to investors.
Citi is the second bank to settle with the government to avoid a lawsuit. In 2008 Citigroup received $45 billion in federal bailouts. They did not plead guilty in today's settlement. Citi shares jumped today with news of the settlement and a strong earnings report.
A private property in coastal Rowayton, Connecticut is stirring up controversy. A land trust wants to preserve the half-acre site as a bird sanctuary and protect the surrounding tidal estuary. But others aren’t happy with the details.
The amount of money New York State is receiving in penalties levied against banks is increasing. In the last three months, state coffers have added more than $4.6 billion in bank fines.
The bulk of the money comes from a record settlement against BNP Paribas, a French bank that admitted to violating US sanctions against Iran, Sudan, and Cuba. It was first reported that New York would receive $2.2 billion, but that number ticks up by another billion because New York City will be giving a portion of its penalty to the state.
Six years after Bernard Madoff became a household name, people still fall for Ponzi schemes. That's probably because schemers have a tried and true method backed up by psychology.
Last year there was a big, $96 million Ponzi scheme on Long Island. It had all the trappings of a Hollywood con: offshore shell companies, luxury cars, and there was even a famous beachfront resort near the Hamptons.
But for the victim there was nothing glamorous about it.
"I thought it was some run-of-the-mill fund," Jan says in a sweet Texan twang that makes friends of almost any ears.
Even though the world's largest hedge fund, Bridgewater Associates, has decided to nix a state-backed $115 million deal to relocate to the site of Stamford's former boatyard, environmentalists and others are still concerned over the future of that 14-acre waterfront site.