Judge Denies Citibank Bid to Recoup Some of Mistaken $893M Payments to Revlon Lenders
A federal judge on Tuesday said Citigroup Inc. is not entitled to recoup half a billion dollars of its own money that it mistakenly wired lenders of Revlon Inc., in what he called “a banking error of perhaps unprecedented nature and magnitude.”
U.S. District Judge Jesse Furman in Manhattan said the Aug. 11, 2020, transfers were “final and complete transactions, not subject to revocation.”
Citigroup plans to appeal. “We believe we are entitled to the funds and will continue to pursue a complete recovery of them,” a spokeswoman said.
A back-office blunder is leaving the financial behemoth faced with the prospect of becoming one of the biggest creditors to the troubled cosmetics empire.
NEW YORK - A federal judge on Tuesday said Citigroup Inc is not entitled to recoup half a billion dollars of its own money that it mistakenly wired lenders of Revlon Inc, in what he called "a banking error of perhaps unprecedented nature and magnitude." US District Judge Jesse Furman in Manhattan said the Aug 11, 2020, transfers were “final.
Citigroup had wired $893million to Revlon s lenders, appearing to pay off a loan not due until 2023, when it intended to send only a $7.8 million interest payment.
Citigroup can't get back $500 million it mistakenly sent to Revlon: US Judge econotimes.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from econotimes.com Daily Mail and Mail on Sunday newspapers.