Citigroup Inc. has sued Barclays Plc to recover more than $141 million for providing foreign exchange services to a unit of Lehman Brothers Holdings Inc. soon after Lehman's bankruptcy, Reuters reported yesterday. The complaint filed on Monday in U.S. District Court related to Citigroup's role in the Continuous Linked Settlement system, which was designed to ensure that foreign exchange trades are completed. Citigroup said that it sought to stop settling trades for Lehman's brokerage unit on Sept. 17, 2008, two days after Lehman went bankrupt, because it was incurring large losses. But Barclays was then in the process of buying Lehman's U.S. broker-dealer business, and, according to the complaint, urged Citigroup to keep providing the services. It also agreed to indemnify it for losses between Sept. 17-19, 2008.
