Two years later and still a problem…

August 10, 2004

Though it’s been nearly two years since Citigroup’s (C) former star telecom analyst Jack Grubman resigned — with a $30 million package no less — investors continue to sue the company over Grubman’s questionable calls. Last year, Grubman was sanctioned by regulators who fined him $15 million, and barred him from the securities industry for life. In the Q that Citi filed last week, it noted that the latest suit over Grubman’s work had been filed on July 28 over calls that Grubman made on Focal Communications (FCMCP.PK), a once high-flying stock — it climbed to nearly $300 a share — that now trades at around $5 a share in the pink sheets.

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