Citigroup Securities Fraud Lawyers
The lawyers and attorneys at our firm are currently offering free case evaluations to victims of Citigroup securities fraud. In 2007, Citigroup said it would need to write off between $8 billion and $11 billion to reflect declines in the value of its subprime-mortgage-related securities. If you or someone you know suffered financial losses as a result of this write-off, you may be entitled to compensation. We urge you to contact one of our Citigroup securities fraud lawyers as soon as possible to protect your legal rights.
The enormous losses incurred by Citigroup have already resulted in several lawsuits filed by, and on behalf of, Citigroup shareholders. On such complaint, filed on behalf of participants or beneficiaries of Citigroup's retirement plans, alleges the company's stock was an "imprudent investment'' for the plans because of mismanagement and improper business practices at the company.
In November 2007, a Citigroup shareholder filed a derivative lawsuit alleging Citigroup executives recklessly purchased subprime loans to be used for future collateralized debt obligations and then made improper statements regarding the financial services company's exposure to the subprime market meltdown. The Citigroup derivative lawsuit also claims that some executives sold their own shares in Citigroup while in possession of "material nonpublic information'' about its exposure, securing more than $36 million.
A shareholder derivative lawsuit is brought by the shareholder of a corporation, not on the shareholder's own behalf, but on behalf of the corporation. The shareholder brings an action in the name of the corporation against the parties allegedly causing harm to the corporation. Often derivative suits are brought against officers or directors of a corporation for violations of fiduciary duties owed to the shareholders vis-a-vis the corporation. Any proceeds of a successful action are awarded to the corporation. Often, derivative suits can be a strong vehicle for corporate governance reform.
The Citigroup derivative lawsuit is seeking a judgment against the individual defendants for the amount of damages sustained by the company as a result of their alleged breaches of fiduciary duties. The suit also seeks directive that Citigroup improve its corporate governance and internal procedures.
Legal Help for Victims of Citigroup Securities Fraud
If you are a Citigroup shareholder and suffered a financial loss, you have valuable legal rights. Please contact us at 1-800-LAW INFO (1-800-529-4636) for a free consultation with one of our experienced shareholder derivative lawsuit attorneys.