Tuesday, 31 May 2016
Last updated 3 days ago
Jul 1 2011 | 12:40pm ET
Citigroup will tomorrow pay its last installment on Old Lane Partners, the hedge fund founded by now-CEO Vikram Pandit, four years after buying it and three years after shutting it down.
Citi will pay Old Lane's three founders, Pandit, Citi chief operating officer John Havens and Citi chief risk officer Brian Leach $168.6 million. Pandit, who is currently working on a $1 salary at the bank's top executive, will get $80 million, as will Havens, while Leach will have to settle for $8.6 million.
Citi agreed to pay $800 million for the hedge fund. At the time, most of the $165 million Pandit got was supposed to remain invested in Old Lane, but Citi pulled the plug in the summer of 2008.
Pandit's final payment will be locked up for one year in a Citi Private Bank account.