Right now we’re at a dozen (and counting).

Citigroup Inc. said it fired 11 employees over the alleged accounting fraud at its Mexico subsidiary, a dramatic widening of the fallout from a case in which just one worker had previously been dismissed. In a memo to employees, Citigroup Chief Executive Officer Michael Corbat said that the fired employees included four managing directors, two of whom are business heads in Mexico. Mr. Corbat, who traveled to meet with Citigroup officials in Mexico this week, also said he expects that “several other employees, both inside and outside of Mexico” may face “disciplinary action.” The disclosure brought new revelations of a continuing internal investigation at the third-largest U.S. bank by assets. Citigroup has previously said it fired one employee over the fraud involving its Mexico unit, known as Banamex, and Oceanografía SA, a Mexican oil-services company that borrowed from Banamex…

Mr. Corbat ended his note, sent to all employees, with praise for Banamex, which Citigroup acquired in 2001, calling it a significant source of profit and of “great pride for our franchise.” “While the last few months have been difficult,” Mr. Corbat wrote, “Banamex is an institution with a rich, 130-year history of providing exceptional banking services to its clients.”

Citigroup Fires 11 More Over Alleged Oceanografia Fraud [WSJ]

2 comments (hidden to protect delicate sensibilities)
Show all comments ↓

Comments (2)

  1. Posted by B Iteme | May 14, 2014 at 3:19 PM

    What a surprise. To run a bank in Mexico you have to do illegal things. These guys just borrowed the HSBC handbook. Let's see who the unlucky 11 are. Names?

  2. Posted by guestfrommexico | May 14, 2014 at 4:07 PM

    A bank? Any foreign business going in. Same problem Wal-Mart had down there.