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Citibanamex to challenge ruling after Mexico City judge says no sale until $5.2 billion USD lawsuit resolved

Mexico City, Mexico — A Mexico City judge has ruled that the sale of Citibanamex cannot go ahead until its case with Oceanography is resolved. The bank has called the claim unfounded.

The sale of U.S. Citibanamex was expected to take place during the first months of 2023, however, a Mexico City judge has suspended the sale of the bank until the Oceanography trial is resolved. According to the judge, they must refrain from selling or transferring shares, assets and other tangible and intangible assets until the main trial is resolved.

The bank says it will challenged the decision through an Amparo. “We consider that there are no legal grounds for the precautionary measure, particularly given the unfounded allegations contained in the lawsuit. We have challenged the measure via Amparo,” Citibanamex said in a statement.

Oceanography has tried to prevent the sale of the U.S. Citigroup’s Mexican bank units until it has been paid $5.2 billion USD. The demand for the $5.2 billion was made after, in 2014, Citigroup claimed that Banamex was defrauded of $500 million by the shipping company Oceanography, but have not been able to prove that claim. In turn, Oceanography is claiming $5.2 billion in compensation.