Lawsuits: Lewis, B of A, Misled Shareholders On Merrill Deal

[kpete]

Source: Talking Points Memo

Lawsuits: Lewis, B of A, Misled Shareholders On Merrill Deal
By Zachary Roth - March 25, 2009, 5:26PM

This is just the headache that beleaguered Bank of America CEO Ken Lewis needs...

It looks like B of A is facing legal woes as a result of its hastily arranged deal to buy Merrill Lynch last fall, and its subsequent statements about Merrill's finances.

The Wall Street Journal reports (sub. req.):

* MARCH 25, 2009, 5:22 P.M. ET

Five Public Pension Funds Sue BofA

Five public pension funds are seeking lead status in a class-action suit against Bank of America Corp., alleging that the nation's largest bank by assets made "untrue statements" in the run-up to its purchase of Merrill Lynch & Co. and did not disclose material information to shareholders.

The funds claim to have lost $274 million on their Bank of America investments between July 21, 2008 and Jan. 20, 2009. They include the State Teachers Retirement System of Ohio, the Ohio Public Employees Retirement System, the Teacher Retirement System of Texas, a Dutch national fund known as Stichting Pensioenfonds Zorg en ...

http://online.wsj.com/article/SB123800234136840125.html#mod=testMod

Read more: http://tpmmuckraker.talkingpointsmemo.com/2009/03/lawsuits_lewis_b_of_a_misled_shareholders_on_merri.php

[mulsh]

1. when I inherited shares of BoA they were around $54.00

since this brilliant deal they've tanked to a little over $1.00, I hope there are more share holder suits. I'd like to revive the old tar & feathering ritual for these titans of banking.

[mbperrin]

2. Get after 'em! Lying bastards are one reason my contributions to

Texas Teacher Retirement System must increase by nearly a hundred dollars a month!

[Supersedeas]

3. smells