Banks Indicted in Parmalat Case

Prosecutors allege they failed to act to prevent a huge collapse.
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Four big Wall Street banks were indicted in Italy Wednesday for their role in the collapse of the Parmalat dairy empire four years ago.

A judge in Milan indicted

Citi

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,

Morgan Stanley

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,

UBS

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and

Deutsche Bank

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for failing to take actions that would have prevented the company's implosion under $18 billion in debt, according to news reports.

Citi and Morgan Stanley denied wrongdoing,

The Wall Street Journal

reported. It said UBS and Deutsche Bank weren't immediately reachable.