Bank of America Sued By Dutch Fund ABP (BAC)
Bank of America (NYSE: BAC) has been sued by Dutch pension fund ABP over its Merrill Lynch deal. ABP is the world’s third largest state pension fund. ABP has claimed that Bank of America (BAC) withheld important information about the takeover. The fund stated that this information could have led it to reject the deal. ABP has also accused BoA of not disclosing the information about $5.8 billion bonus payable to Merrill Lynch employees.
ABP said, “Prior to the merger date, BofA appear to have had knowledge of record quarterly losses Merrill was facing. The losses were expected to exceed $15 billion.” The U.S. Securities and Exchange Commission has also sued Bank of America over similar charges.
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