Citi blocked in $75m SEC payoff

Citigroup’s $75m (£48m) settlement with the US Securities and Exchange Commission over its alleged failure to disclose up to $40bn in sub-prime securities has hit an obstacle after a federal judge refused to approve the payment. US district judge Ellen Segal Huvelle said she did not have “sufficient information” to green-light the deal. The SEC accused Citi of misleading investors by failing to be clear on the full extent of its exposure to low grade mortgage-backed securities in conference calls in 2007.