Congress to investigate BofA Merrill deal


This presumably would include investigating Bernanke and Paulson too.

WSJ money quote:

The person familiar with the investigation said the review of documents, notes from phone conversations involving Federal Reserve officials and other information suggest “there’s fire there.”

This could be huge. Look, I mean, what was BofA CEO Kenneth Lewis supposed to do when the Fed and Paulson made him an offer he couldn’t refuse? He’s hardly blameless, but still…

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2 Responses to Congress to investigate BofA Merrill deal

  1. connecticut man1 Wed, May 06, 2009 at 10:45 pm #

    And BoA is looking for more billion$?

  2. DJ Thu, May 07, 2009 at 7:47 am #

    B of A was ORDERED to raise more billion$ because even after the bailout they failed the stress test. Which suggests that (a) they’re not particularly solvent, and (b) the current stock will have its value diluted. Yet after the announcement, B of A stock rose more than 14%. Go figure.