The U.S. Securities and Exchange Commission (SEC) is probing whether banks and private equity firms violated bribery laws in their dealings with sovereign-wealth funds, The Wall Street Journal reports. The regulators have sent letters of inquiry to nearly 10 firms, including Citigroup and Blackstone Group. The SEC has requested the firms to retain documents and has also asked about their dealings with sovereign-wealth funds as per the investigation, which is part of the Foreign Corrupt Practices Act. Citi received cash infusions from middle-eastern sovereign funds during the crisis, while Blackstone received a $3 billion investment from China Investment Corporation in 2007, adds Financial Times.
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