Citigroup Fined $525,000 Over Commodities Claims

Before you go, we thought you'd like these...
Before you go close icon

Citigroup (NYS: C) has agreed to pay $525,000 in fines over accusations that the firm exceeded speculative position limits in wheat futures contracts in trading on the Chicago Board of Trade.

The Commodity Futures Trading Commission says Citigroup violated trading limits on multiple occasions in December 20009. Citigroup neither admits nor denies the commission's findings and conclusions. According to the Commission, Citigroup traders' bullish positions on the Chicago Board of Trade were used to hedge customer transactions over the wheat trading limit of 6,500 contracts for all combined contract months. The penalty is a small one for Citigroup, which had operating cash flow of more than $41 billion in 2011.

The article Citigroup Fined $525,000 Over Commodities Claims originally appeared on Fool.com.

Fool contributorDan Carrollholds no positions in the stocks mentioned in this article. The Motley Fool owns shares of Citigroup. The Motley Fool has adisclosure policy. We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. Try any of our Foolish newsletter servicesfree for 30 days.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners