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Citi in fraud suit claiming US$1.1b in losses

Plaintiffs claim they were harmed by the bank's loan to Mexican oil services firm

Citigroup's Mexican subsidiary, Banamex, made short-term loans to Oceanografia, which did work for state-run Petroleos Mexicanos, or Pemex. In turn, Pemex repaid the bank.

New York

CITIGROUP Inc was sued for fraud by investors and creditors of a bankrupt Mexican oil services firm over claims they were harmed by a loan scheme that also led the bank to cut 2013 profit by US$235 million and fire at least a dozen people.

Citigroup's loans led to the 2014...