Thursday, March 17, 2005
Citigroup, Morgan Stanley Named in Parmalat Probe
Prosecutors investigating the Parmalat scandal have accused four foreign banks and an Italian asset management firm of helping the dairy foods giant mislead investors, moving closer toward a possible trial. In the report, seen by Reuters, the prosecutors also accused 13 bank executives, including an employee of Credit Suisse First Boston of the Italian crime of market-rigging.
Parmalat collapsed under 14 billion euros ($18.7 billion) of debt in late 2003, triggering one of the world's biggest financial scandals.