U.S. threatens Citigroup with lawsuit

The Justice Department and Citigroup Inc. are locked in a high-stakes game of chicken, with the U.S. warning it plans to file a lawsuit as early as next week related to Citigroup's alleged sale of shoddy mortgages in the run-up to the financial crisis, according to people familiar with the talks.

The Wall Street Journal reports Citigroup is offering less than $4 billion to resolve the long-running civil probe by the Justice Department.

However, the government is seeking a figure closer to $10 billion, according to the report.

Read more from the Wall Street Journal.