In a new trend for banks, Citigroup (NYSE: C ) is finding itself back in court to settle an old score that it had thought was already resolved. Based on a transaction that Citigroup handled, a private equity firm is claiming that Citi lied about another bidder as a means to drive the sale price higher.
Though the bank had already won this fight, a return to court was in the cards. In the video below, Motley Fool contributor Jessica Alling discusses why round 2 was necessary, what's different this time around, and what investors should think about the ordeal.
Citigroup's stock looks tantalizingly cheap. Yet the bank's balance sheet is still in need of more repair, and CEO Michael Corbat still needs to prove himself. Should investors be treading carefully or jumping on an opportunity to buy? To help figure out whether Citigroup deserves a spot in your portfolio, I invite you to read our premium research report on the bank today. We'll fill you in on both reasons to buy and reasons to sell Citigroup and what areas Citigroup investors need to watch going forward. Click here now for instant access to our best expert's take on Citigroup.
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