Friday, October 26, 2012

Citi fined $2 million over Facebook IPO




According to a report in the NY Post the top securities regulator in Massachusetts has fined Citigroup $2 million for failing to supervise analysts who improperly disclosed confidential information about Facebook's initial public offering.

Secretary of State William Galvin announced Friday that Citi acknowledged a statement of facts in the case and agreed to permanently stop violating state securities laws.

Galvin's office said a junior analyst assigned to work on the IPO emailed two employees at a tech blog that contained confidential information, including a senior analyst's view of investment risks and positives, and revenue estimates for Facebook. The analyst was eventually fired….

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