US banking giant Citigroup has agreed to pay $1.66 billion to resolve its legal dispute with Enron creditors dating to the collapse of the former energy trading firm in 2001.
Enron's lenders had filed a series of bankruptcy and fraud claims against Citigroup in the US Bankruptcy Court in New York totalling $21 billion. The creditors had also sued 10 other banks.
Citigroup said it would pay the lenders $1.66 billion in a pre-trial settlement which resolves their claims against one of America's biggest financial firms.
Enron's 2001 collapse was at the time the largest bankruptcy in US corporate history. The Texas-based firm imploded with more than $40 billion in debts as investigators uncovered a wide-ranging accounting scandal.
