Citigroup was fined R$370 million in the UK over a mistake that caused it to mistakenly sell shares | Companies

It is a subsidiary of Citigroup He was fined £61.6 million (about R$ 370 million) per Two regulators in the UKafter Failure in systems and controls Provoking the American banking giant Mis-selling Worth US$1.4 billion (R$7 billion) in stocks.

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The Financial Conduct Authority (FCA) said on Wednesday (22) that an error had been made by Citigroup’s global markets operator It produced a basket of stocks worth US$444 billion instead of US$58 million. The banking group’s controls blocked part of the basket, but $189 billion was incorrectly sent to the trading algorithm.

The FRA said the error resulted from the design of Citigroup Global Markets’ system, which allowed the operator to manually ignore the pop-up alert. The regulator also assessed that real-time monitoring of Citigroup was ineffective.

“In total, US$1.4 billion worth of shares were sold on European exchanges before a trader canceled the order. This coincided with a brief, significant decline in some European indicesThe Financial Conduct Authority (FCA) said, which lasted a few minutes.

Following separate investigations, the Financial Supervision Authority fined Citigroup £27.8 million, and the Prudential Regulation Authority (PRA) sanctioned the US bank £33.9 million.

By agreeing to pay the two fines, Citigroup is entitled to a 30% discount. In the current situation, The bank said the error was identified and corrected within minutes.