Citigroup Sues Brigade Capital Over Mistaken Revlon Transfer
- Bank accidentally sent $900 million to Revlon lenders
- Suit says Brigade has refused to return $175 million
This article is for subscribers only.
Citigroup Inc. asked a federal court to order Brigade Capital Management LP to return its share of more than $900 million that the bank mistakenly wired to Revlon Inc. lenders, some of which are locked in a bitter fight with the struggling cosmetics giant.
The bank has recouped less than half of the money, which it blamed on a clerical error. Some of the lenders are refusing to give it back, including three firms that claimed Revlon was in default on a loan and should have repaid them anyway, according to people with knowledge of the matter.