Tagged: Merrill Lynch

BofA settlement with SEC okayed

A federal judge okayed a $150 million Bank of America settlement with the SEC to end civil charges accusing the nation’s largest bank with misleading shareholders when it acquired Merrill Lynch.  But law Professor Elizabeth Nowicki, both a former SEC and Wall Street attorney, says it is likely a short-lived “win” for BofA because the judge […]

BofA balks at SEC settlement

Bank of America is balking at suggestions from a federal judge that an outside compensation consultant be appointed as part of BofA’s settlement with the SEC.  The judge has twice rejected as too small settlement proposals in the case involving BofA not disclosing both losses and bonuses when it merged with Merrill Lynch.  Law Professor […]

BofA/S.E.C. settlement still unsettled

Federal Judge Jed Rakoff suggests he may reject a $150 million proposed deal reached between Bank of America and the Securities and Exchange Commission to settle charges the bank misled shareholders when it took over Merrill Lynch.  Law Professor Elizabeth Nowicki, once an S.E.C. attorney, says she’s sympathetic to the S.E.C, but applauds the judge’s […]

SEC widens BofA/Merrill probe

The Securities and Exchange Commission is widening its probe of the Bank of American take-over Merrill Lynch to go beyond failing to disclose bonuses paid to Merrill employees to now include failure to disclose ML’s mounting losses.  Law Professor Elizabeth Nowicki, a former SEC and Wall Street attorney, says it’s about time. The SEC’s expanding probe of Bank […]

BofA CEO Lewis resigning

After months of legal scrutiny of Bank of America’s takeover of Merrill Lynch, BofA CEO Ken Lewis says he’ll step down at year’s end.  School of Management Professor James Post, an authority on corporate governance and business ethics, says the momentous changes that Lewis orchestrated left BofA vulnerable and Lewis himself personally accountable. “What brought […]

SEC sues Bank of America

Without admitting guilt, Bank of American paid a $33 million fine after the SEC sued it for lying to investors about the payment of $5.8 billion in bonuses to Merrill Lynch employees after BofA bought Merrill.  School of Law Professor Cornelius Hurley, director of the Morin Center for Banking and Financial law, says it’s an […]

Bernanke: No pressure on BofA/Merrill deal

Fed Chairman Bernanke told Congress today the Fed did not threaten action against the Bank of America if last fall’s negotiations leading to BofA’s take over of Merrill Lynch had failed.  This amid reports the Fed kept other regulators out of the loop during the merger talks and that regulators secretly tightened their grip on […]

BofA CEO pressured in Merrill deal?

Bank of America CEO Ken Lewis testifies before Congress today about whether federal regulators pressured him to complete a deal last year to buy Merrill Lynch.  Mark T. Williams, a former Federal Reserve bank examiner who teaches finance in the School of Management and is writing a book on the fall of Lehman Brothers during […]

Dealing with the Merrill Lynch bonuses

School of Law Professor Tamar Frankel, an authority on securities law and legal ethics, says the SEC is in a tough spot reviewing whether bailed-out Bank of America broke the law by not disclosing to shareholders bonuses to executives at Merrill Lynch, which BofA had bought.  She suggests three ways to enforce the law, which could […]