Take Two translates the day’s headlines for Southern California, making sense of the news and cultural events that affect our lives. Produced by Southern California Public Radio and broadcast from October 2012 – June 2021. Hosted by A Martinez.
Citigroup announced today it will pay $7 billion for its role in the lead up the financial crisis.
In a settlement deal with the federal government, the company will avoid a lengthy investigation into how it allegedly misled investors over mortgage-backed securities. Many of those mortgages were placed on homes here in Southern California, but most of those went sour.
Out of that money, $4 billion will go to the Department of Justice, $500 million to state attorneys general and $2.5 billion in consumer relief.
Andrew Grossman with the Wall Street Journal joins Take Two with more details of the settlement and what exactly California consumers will get out of the deal.