Citigroup mistakenly credited $81 trillion to a customer instead of $280, taking hours to reverse the error, highlighting ongoing concerns over its financial controls.
 |
| Citigroup mistakenly credited a customer with $81 trillion due to a transaction error, later reversing the mistake after hours of internal review. Image: ChicHue |
Washington, USA — March 2, 2025:
Citigroup mistakenly credited a staggering $81 trillion to a customer’s account instead of $280, taking hours to correct the error, citing FT the BP reported on Friday. The incident, which occurred last April, raises fresh concerns over the bank’s internal controls and transaction monitoring.
The journalist, citing internal records and sources familiar with the matter, reported that a payments employee initially overlooked the error. A second official responsible for verifying transactions also failed to detect the mistake before it was processed. A third employee discovered the discrepancy an hour and a half after the funds were sent, but it took several more hours for Citi to reverse the transaction.
No money actually left the bank, and Citi classified the event as a “near miss”—a term used for errors caught before external transfers occur. The bank disclosed the mistake to the Federal Reserve and the Office of the Comptroller of the Currency (OCC), according to the media.
In a statement to media, Citigroup said its internal safeguards quickly flagged the discrepancy between two ledger accounts, allowing it to reverse the entry. The bank emphasized that the incident had no financial impact on itself or the customer.
Despite this, Citi has recorded multiple similar incidents. According to an internal report seen by the media, the bank had 10 "near misses" involving at least $1 billion in 2024, down from 13 the year before. Citi declined to comment on this data.
The error comes as Citigroup faces heightened regulatory scrutiny over its risk management and compliance systems. Last month, CFO Mark Mason acknowledged that the bank was increasing investments in data and technology to improve oversight and prevent such mistakes.
“We saw the need to invest more in the transformation of data, on technology, on improving the quality of the information coming out of our regulatory reporting,” Mason said.
Citigroup has previously faced regulatory penalties for compliance failures. In July 2024, it was fined $36 million for slow progress in resolving risk management issues. In 2020, it was hit with a $400 million fine for similar lapses.