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After recently failing the Fed’s bank stress tests, Citi is cannot increase its modest dividend or raise the amount of shares it buys back.
After recently failing the Fed’s bank stress tests, Citi is cannot increase its modest dividend or raise the amount of shares it buys back.
(Craig Ruttle/AP)

Bad news keeps coming for Citi CEO Corbat

Michael Corbat can’t seem to catch a break.

Lately the chief executive officer of Citigroup Inc. has presided over a steady drip of not-so-great news. In February it emerged that Citi’s Mexico unit had lost $400-million (U.S.) in an apparent fraud that forced the bank to restate its results for the prior year. Last month, Citi was the only major U.S. bank to fail the Federal Reserve’s stress tests, with regulators citing deficiencies in the way it planned for adverse scenarios.