Citigroup Inc.’s Spanish unit improperly sold investment products for Lehman Brothers Holdings Inc., according to lawyers who say they filed a lawsuit on behalf of as many as 122 clients.
Citigroup used aggressive marketing campaigns to sell the products, failed to diversify client investments and didn’t advise customers of what was happening at Lehman, said Zunzunegui Securities Lawyer and Jausas, two law firms that are representing the customers. The suit seeks 3 million euros($4 million), the firms said in an e-mailed statement.
The law firms said they are also attempting to reach a settlement with other banks, including Banco Santander SA, on behalf of customers affected by the collapse of Lehman. Lehman- related claims against Spanish banks may reach 100 million euros, the law firms said.