NY AG Issues Subpoena After BofA CEO Fails to Give Names
New York, NY —
The New York attorney general's office has subpoenaed Bank of America Corps seeking the names of Merrill Lynch executives who received more than $3 billion dollars in year-end bonuses.
Chief Executive Ken Lewis failed to provide those details during a lengthy deposition last evening.
Attorney General Andrew Cuomo is investigating the timing of Merrill Lynch's bonuses, and whether proper disclosure was made to shareholders about their size.
The bonuses were granted just before Bank of America's acquisition of Merrill Lynch closed. At the time, the bank was also seeking additional government aid on top of $25 billion it had already received.
A Bank of America spokesman says the bank has offered to provide the names if Cuomo would guarantee their confidentiality, arguing disclosure of compensation puts the bank at a competitive disadvantage.
