Citigroup's $81 Trillion Error Details Emerge

Citigroup mistakenly credited a client's account with $81 trillion instead of the intended $280 in April 2023. The error was initially missed by two employees but caught by a third within 90 minutes, after which it was reversed with no funds leaving the bank. The incident was reported to the Federal Reserve and the Office of the Comptroller of the Currency as a 'near miss'. Citigroup's 'detective controls' identified the mistake between ledger accounts and prevented any funds from being transferred out. This error is part of a broader pattern of operational issues at Citigroup, which experienced ten 'near misses' of $1 billion or more last year, highlighting ongoing challenges despite efforts to improve risk management and compliance. The bank continues to invest in transforming its systems to prevent such errors, as past mistakes have led to significant fines and regulatory scrutiny.