Citigroup made the mistake of lending $ 81 trillion to a client's account instead of $ 280, according to a Friday report from Financial time.
The multi -dollar error occurred in April 2024 and was overlooked by a payment employee and a second employee assigned to control the transaction before it was approved to be processed. A third employee seized the error 90 minutes after the payment was posted, leading the citigroup to return the transaction several hours after it was presented, for the exit.
The value of the transaction exceeds much gross domestic product of any country in the world, including $ 29.72 trillion dollars The US GDP also exceeds Citigroup itself $ 147 billion Market capitalization.
No fund left the bank. Citigroup revealed “Miss nearby”, or the deadline for a bank that processed a lot of wrong, but the recovery of funds, in the US Federal Reserve and the currency controller's office.
Said a Citigroup spokesman Interior that the incident was a “insertion error” and that there was no “any impact on our bank or client”. They also stated that the transaction was so large that it could not have been processed.
“Despite the fact that a payment of this size could not have been actually executed, our detective checks immediately identified the incoming error between the two Ledger Citi accounts and we returned the entrance,” said a Citigroup spokesman Bi.
Bank also said Fold that it would be postponed to eliminate manual entry and work on the automation of the input process.
Director General of Citigroup Jane Fraser. Photography: Paul Yeung/Bloomberg through Getty Images
This is not the first time Citigroup has made a massive insertion error. Fold It reported that 10 nearby $ 1 billion errors or more occurred in Citigroup last year, from 13 cases to 2023.
In August 2020, Citigroup accidentally sent 900 million dollars For creditors of the cosmetics company revlogs instead of an interest payment of $ 7.8 million. Got the bank Two years of legal action to recover most of the money. The episode led to retirement to then Michael Corbat and a fine of $ 400 million by US regulators on “unsafe and unsafe banking practices”.
Current Director General of Citigroup, Jane Fraser, declared When she was named in the role of CEO in September 2020 that she would work to ensure that employees “operate in a safe and sound way” by investing in infrastructure, risk management and controls.
Two years later, an employee of Citigroup randomly added an additional zero For a trade, causing a stock sale that deleted about 300 billion euros, or $ 322 billion, from European shares. British regulators fine Citigroup about 62 million poundsor about $ 78 million, for this issue last year.
Connected: Citigroup eliminated more work this week. Here are which roles were affected.
US regulators also fine Citigroup $ 136 million Last year for not correcting gaps in operations.
Citigroup is not the only large bank that has fined operations. JPMORGAN CHASE, LARGE BANK IN SH.BA 3.9 trillion dollars In the wealth, was fined Nearly $ 350 million In March 2024 by US regulators for operating trade “without adequate supervision”.