Citibank (NYSE: C) released a prepared statement by CEO Vikram Pandit made to a Congressional Oversight Panel overseeing the Troubled Asset Relief Program (TARP). In his statement, Pandit thanked the American people for the federal aid that it had received, but failed to make a formal apology or acknowledge any specific mistakes the company made going into the financial crisis.
Pandit is hoping that the statement will Citibank will turn a new page for the company, despite fierce questioning from the five-member Congressional committee.
“This investment built a bridge over the crisis to a sound footing on the other side, and it came from the American people,” said Pandit in his prepared remarks. “Citi owes a large debt of gratitude to American taxpayers.”
The Congressional oversight panel, led by Harvard Law School professor Elizabeth Warren, has held more than a dozen hearing since it was formed to monitor the use of federal bailout funds under the TARP program in late 2008. The panel has looked into a number of issues, including mortgage modification issues and government guarantees on bank debt.
Citibank prepared the remarks for Pandit to provide in hopes of cutting short criticism from panelist that Citibank is epitome of a “too big to fail” bank. Warren has advocated that large-cap banks whose failure could imperil the financial system should be broken up. She has also advocated the establishment of a consumer financial protection agency.
