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Texas Attorney General Says Citigroup Discriminates "Against Firearms Sector"

Vandana Singh
·1 分鐘文章

  • Citigroup Inc (NYSE: C) has reportedly discriminated against the firearms sector, the office of Texas Attorney General Ken Paxton said, making a decision that "has the effect" of halting the bank's ability to underwrite most municipal bond offerings in Texas.

  • Bloomberg first reported the news, citing a letter that Leslie Brock, assistant attorney general chief of the public finance division, distributed to lawyers.

  • Citigroup will not be allowed to underwrite debt in Texas, one of the nation's largest public bond markets, according to the letter distributed to lawyers and viewed by Bloomberg.

  • "Therefore, until further notice, we will not approve any public security issued on or after today's date in which Citigroup purchases or underwrites the public security or in which Citigroup is otherwise a party to a covered contract relating to the public security," according to the letter.

  • "We're disappointed with the decision and will remain engaged with the Texas AG office to review our options," said the report cited Mark Costiglio, a Citigroup spokesperson.

  • In 2018, Citigroup set restrictions on the firearms industry after a mass shooting at a high school in Parkland, Florida. The bank's policy does include exemptions, including one to the under-21 age restriction if a person has military training.

  • Price Action: C shares closed at $49.43 on Wednesday.

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