A mistake by an employee at Citigroup led to a massive fund transfer of $81 trillion, which would have made the recipient the wealthiest person in history. The error occurred last April and was not reported to regulators due to the lack of regulatory scrutiny for “near misses.” According to internal reports, 10 such incidents occurred at Citi last year, including this one, which involved an automated system catching the mistake. Citigroup has previously experienced significant errors, including a two-year-old accounting mistake that cost $322 billion in stock value.
The incident highlights the potential risks of automated systems and human error in the banking industry. It also underscores the lack of transparency around “near misses,” which are formal categories of mistakes that do not require regulatory reporting. As the financial industry continues to rely on complex technology, incidents like this serve as a reminder of the importance of robust controls and oversight.
Source: https://gizmodo.com/citigroup-briefly-makes-customer-the-richest-person-in-history-with-mistaken-81-trillion-transfer-2000570240