Citigroup Fined by Mass. Regulator Over Facebook IPO
Citigroup's (NYS: C) global markets unit has agreed to pay a $2 million civil fine in Massachusetts after an analyst improperly disclosed Facebook (NAS: FB) financial information prior to its May IPO.
The unnamed "junior analyst" in question worked for Citigroup Global Markets Inc. and the information was illegally communicated to TechCrunch employees, according to state officials. The employee was fired Sept. 27.
Click here to open a pdf version of the consent order entered into by the Massachusetts Securities Division and Citigroup Global Markets Inc.
According to William Galvin, Massachusetts Secretary of the Commonwealth, senior Citi analysts did not adequately supervise a lower-level colleague who sent an email containing proprietary, confidential information.
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