Citigroup has recently warned its employees about potential fraud and unethical behaviour within the company. Hence, the company is considering implementing stricter oversight on the work done by contractors.
This move aims to ensure that the company is billed accurately for the services it receives.
In a memo that was shared with Reuters, Citigroup highlighted its ongoing challenges in improving its internal controls and risk- management practices. The bank faced significant consequences earlier this year, as regulators fined it $136 million for not making enough progress on issues that had been raised way back in 2020. This situation underscores the importance of close supervision and accountability within the organisation.
The memo, sent by Scott Sigal, global head of procurement and third-party management, Citigroup, and Erika Federico, global head of non-employee staffing, made it clear that the bank has a zero-tolerance policy for any fraudulent or unethical behaviour. They emphasised the need to heighten controls over how the company sources work and ensures that suppliers meet its standards while being paid appropriately for their services.
Additionally, the memo encouraged employees to report any suspected misconduct or breaches of company policies. Citigroup stressed that any misuse of its resources for personal or professional gain would be investigated thoroughly.
This emphasis on accountability reflects the bank’s commitment to fostering a culture of integrity and transparency as it works to address previous regulatory concerns and improve its overall operations.