Citigroup Residential Mortgage-Backed Securities
17 June 2014
On April 7, 2014 Citigroup announced an agreement with 18 institutional investors to make an offer to the trustees of 68 Citi-sponsored mortgage-backed securities trusts to settle certain legacy mortgage repurchase claims. On May 14, 2014 Law Debenture was appointed as separate trustee for 2 of those trusts. The offer includes payment by Citigroup of $1.125 billion in cash in exchange for the release of all repurchase claims that have been or could be asserted by the trusts. The offer expires on June 30, 2014, but may be extended for an additional 45 days. Law Debenture and the other trustees are currently evaluating the offer.