Friday, September 28, 2012

Bank of America Coughs Up $2.43 Billion to Settle Suit Over Merrill Deal




From Dealbook: Bank of America announced on Friday that it would pay $2.43 billion to settle a class action lawsuit related to its acquisition of Merrill Lynch, as the legal woes continue for the financial institution.

In 2009, shareholders accused Bank of America of making false and misleading statements about the health of the two companies. In part, the plaintiffs accused Bank of America of hiding a major loss at Merrill Lynch just shortly before shareholders were set to vote on the deal.
While Bank of America denied the allegation, it said it decided to settle to put the litigation to rest. 

As part of the proposed settlement, Bank of America also agreed to improve its corporate governance policies….

http://dealbook.nytimes.com/2012/09/28/bank-of-america-to-pay-2-43-billion-to-settle-class-action-over-merrill-deal/?hp

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