Judge OKs $730M Citigroup Bondholder Settlement

A federal judge has approved a settlement in which Citigroup Inc agreed to pay bondholders $730 million to resolve claims that the bank concealed its exposure to billions of dollars of toxic mortgage assets prior to the financial crisis.

U.S. District Judge Sidney Stein in Manhattan approved the settlement on Tuesday, less than three weeks after approving a similar $590 million settlement for Citigroup shareholders.

Stein said the latest settlement resolves claims by investors who bought Citigroup bonds in 48 offerings between May 2006 and August 2008.