A federal appeals court delayed its decision on the Securities and Exchange Commission appeal against a lower court's rejection of a $285 million settlement with Citigroup ( C) to September, Reuters reported. That means Judge Jed Rakoff's earlier rejection of the settlement still stands until oral arguments are heard later this fall. Citigroup last year agreed to pay the SEC $285 million to settle charges that it had misrepresented mortgage-backed securities it sold to investors and then proceeded to bet against the debt underlying the securities. Rakoff rejected the settlement arguing that the SEC acted against public interests in allowing the bank to neither admit nor deny the allegations. The SEC then appealed the decision saying it had arrived at the settlement after carefully weighing the costs of going to trial. Last week, the court indicated that the SEC had a good chance of winning its argument and that Rakoff overstepped his authority in dictating policy to the regulator. However, it looks like it is too soon for the SEC and Citigroup to celebrate.
Goldman Sachs ( GS) has begun a new round of layoffs as part of its annual review process, Reuters reported, citing persons familiar with the matter.