But Warner sued Citibank yesterday on charges the bank violated a pledge not to lend money to a hostile bidder.

A group of four congressmen claimed that major banks like Chase and Wells Fargo may have violated anti-trust laws.

Again the bank lost a lot of money, made a number of bad loans, and violated laws of money laundering.

An official of Daiwa Bank in Japan said the bank had probably violated American regulations by waiting to report the case.

The Federal Reserve is also investigating whether the bank violated American reporting requirements in the deal.

In 2007, the Federal Service was swamped with complaints of borrowers who reported that the bank had violated their rights when granting loans.

Jim Finn, a spokesman for Chase Manhattan, said the bank had not violated its privacy agreement.

An inspection panel commissioned by the board of the bank reported last month that the bank had violated its guidelines when it approved the proposal.

In April 1994, Federal bank examiners found evidence that the bank violated "laws and/or regulations," Federal records show.

The sale was illegal, the decision said, though it did not explain why the bank violated its agreement.