Sept 29 (Reuters) - Citigroup Inc and Lehman Brothers Holdings Inc resolved a fight over $2.1 billion that dates to the financial crisis era after Citigroup agreed to give back $1.74 billion to the estate of the investment bank, according to Bloomberg.

Citigroup had kept about $2.1 billion that Lehman had on deposit with it for trades following the Lehman bankruptcy, Bloomberg said.

The dispute arose because Citigroup said it was owed $2 billion as a result of Lehman's bankruptcy, while Lehman argued that the money should go to its creditors, Bloomberg said. https://bloom.bg/2fzDHPL

Lehman Brothers Managing Director Steven Mullaney said in court papers that the pact was "reasonable in light of the complexities of the litigation," according to Bloomberg.

Reuters was not able to get a comment from Citigroup or Lehman Brothers outside business hours. (Reporting by Mekhla Raina in Bengaluru; Editing by Richard Pullin)