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Addiction next -- think Wall Street executives fully understand the products they sell maybe think again.
There's no don't -- the company right now with the Fox Business exclusive tell me why.
Some bank guys do not know what -- selling and dealing with.
Well there was open insurrection and mutiny at Citigroup because their own financial advisors and private bankers including the financial advises that Smith Barney.
Felt another alternative investments in -- fixed income team.
I did not disclose even to the bank's own executives are risky this of these speculative investments that were sold -- safe.
Municipal bonds us cities and an -- -- full disclosure.
But -- how -- -- take a look at this one email from an insider at Citigroup -- issue with clients got duped.
And we this financial advisors god did because all of what we were getting another at Reno says sell it for our bank this is that -- gigantic disaster because of.
Lack of disclosure so let's say this is going back to what 200620072008.
And these bankers were complaining internally that's right that they were being asked to settle.
All kinds of derivative products which they didn't understand which they didn't know what risk.
Right they didn't get the full disclosure from the -- with built these Muni bond alternative investments.
And you know one email -- -- -- if you're you're happy really portfolio manager happy with us.
If there was half a billion dollars lost at Morgan Stanley or Goldman Sachs -- he would have been fired.
Immediately another email -- read this places and -- It's being held together with duct tape and glue against Citigroup is saying enacted a -- full disclosure two billion dollars loss ongoing SEC probe.
-- -- we're seeing among the record settlements paid out to investors on this bond investment.
A -- to so -- we don't.
Groups down 5% I think that's more because of Europe and the problems over that and because of this email scandal that to this have been uncovered yeah that's right but it's a big deal -- it's a big deal Tracy -- put me -- -- this is that right yeah.
-- your account of the album is so.
I was very good it's a great story I mean it that that's flat out that we didn't understand what we -- selling all the risk of what we -- selling a we was selling -- all of.
Yeah that's right Stewart and they were so angry and emails it's clear when you read the transcripts of the conference calls.
There was open mutiny against the management team of this -- -- Vikram Pandit had just come and we'll it would take care of those gonna be knows when -- -- -- back cost Citi even more money in the future and fines and yet definitive cause them to lose arbitration panels that are still ongoing arbitration.
Still ongoing -- and more on that.
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