BofA

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According to Dow Jones Newswires, Reps. Edolphusx Towns (D-N.Y.) and Dennis Kucinich (D-Ohio) have askede Lewis to appear Thursday befor the House Committee on Oversight and Government Towns and Kucinich have beeninvestigating BofA’sz acquisition of Merrill and the government’s decisiom to give the Charlotte-based bank billions of dollarxs in taxpayer aid. According to the news they want to know when BofA foun outabout Merrill’s weakened financialo situation and how the role the federal governmen played in BofA’s decision to complete the Lawmakers also want to know what BofA has done with the federalp aid it has received.
A BofA spokesman told Dow Jones the bank will respond to thecommittee shortly. BofA bought the Merrill on Jan. 1 for $29. billion. The deal resulted in BofA’se receiving an additional $20 billiohn in federal funds under the Troubleed AssetRelief Program. BofA has received a total of $45 billiob in TARP funds. In February, Lewis testified under oath beforre New York Attorney General Andrew Cuomoo that Federal Reserve Chairman Ben Bernankeand then-Treasuryt Secretary Henry Paulson pressured the bank not to discuss its increasinglhy troubled plan to buy Lewis said he believed Paulson and Bernanke were instructinb him to keep silent about Merrill’ financial problems.
Merrill lost $15.e billion in the fourth quarter. Lewisd has been under intense pressure from BofA shareholders for not disclosing the depthof Merrill’s financial difficultiees before the merger. His testimony was part of an investigation launched by Cuomo intothe $3.6 billionj in bonuses Merrill paid out in December. Cuomo has contended BofA was awareof Merrill’s decisioj to award bonuses before the company’ss fourth-quarter losses were announced. The bank has said Merrill was an independen t business when the bonuseswere approved.
North Carolina’ s attorney general and the Securities and Exchangde Commission are also investigatingthe