Deutsche Bank may reach a deal as early as Wednesday to settle allegations by the U.S. Department of Justice that it misled investors when selling mortgage-backed securities, Reuters reported, citing a person with knowledge of the matter.

The bank is set to pay far less than the $14 billion the U.S. had initially asked for, Reuters said, citing the person. A settlement hasn't been finalized yet and any last-minute obstacles in negotiations could delay the deal, according to Reuters.

A spokesman for Deutsche Bank in Frankfurt declined to comment on the report when reached by Bloomberg News.

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