Corporations and securities brief ~ UK fines Citigroup for disruptive bond trading

Corporations and securities brief ~ UK fines Citigroup for disruptive bond trading

[JURIST] Leading Tuesday's corporations and securities law news,the UK's Financial Services Authority [official website] has fined Citigroup [corporate website] $25 million for flooding the market with bonds. Though the transaction was not illegal, it was against standard practice for European bond trading. In a press release, the FSA said that the transaction caused a sharp drop in bond prices. Reuters has more.

In other corporations and securities law news…

  • US prosecutors are seeking an 85-year jail term for former Worldcom [JURIST Hot Topic coverage] CEO Bernard Ebbers [Wikipedia profile]. In March, Ebbers was found guilty of corporate fraud [JURIST report]. MarketWatch has more.
  • As reported earlier on JURIST's Paper Chase, former HealthSouth CEO Richard Scrushy [Wikipedia profile] was acquitted by a federal jury today following weeks of deliberations [JURIST archives]. Scrushy was originally charged with 85 counts of corporate fraud. He was ultimately tried on 36 charges and could have faced up to life in prison if found guilty of $2.7 billion in accounting fraud. Following his criminal acquittal, the AP is reporting that Scrushy now faces civil charges from the SEC. Reuters has more.
  • Also as reported earlier on JURIST's Paper Chase, AMD [corporate website] has filed an antitrust complaint against Intel [corporate website]. In its suit, AMD claims that Intel bullied manufacturers into signing exclusive contracts. AMD is seeking billions of dollars in damages in its suit. In a press release, AMD said customers "pay the price in cash every day for Intel's monopoly abuses." AP has more.