A federal appeals court said on March 15 there is a strong likelihood it would reverse Southern District Judge Jed Rakoff’s refusal to approve a $285 million settlement between Citibank Global Markets Inc. and the Securities and Exchange Commission.
The U.S. Court of Appeals for the Second Circuit said Judge Rakoff (See Profile) failed to show proper deference to the SEC’s judgment that the settlement of fraud claims stemming from the sale of mortgage-backed securities was not against the public interest.
