Update: That was quick. Bank of America has settled the charges for a meager $33 million. And they’re not even admitting guilt.
Original post: The SEC is suing Bank of America (BAC), alleging materially false, misleading statements in connection with its acquisition of Merrill Lynch.
Of course, this will rip open fresh wounds from this contentious story. and in a sense it pits the SEC against the Fed and the Treasury which brought enormous pressure against Ken Lewis to get a deal done at any (and in fact great) cost to his shareholders.
We’re still waiting for a copy of the report, though according to CNBC the complaint specifically centres on Merrill bonuses.
The news isn’t hurting BofA shares, which are still trading about $.40 to the upside.
NOW WATCH: Money & Markets videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.