SEC Forces Bank Of America To Hold Vote On Breakup
The Bank of America Corp (NYSE: BAC) shareholder meeting got a little more interesting as the Securities and Exchange Commission is forcing the company to allow a vote on a shareholder provision that would split its investment banking division, according to Reuters.
The decision reverses prior decisions from the SEC, including decisions last year, that allowed Bank of America, JPMorgan Chase & Co (NYSE: JPM) and Citigroup Inc (NYSE: C) to keep the votes off the ballot.
The proposal would force the Board of Directors to appoint an independent board that would look into divesting non-core banking divisions. The plan is the brainchild of Bartlett Naylor, a Bank of America shareholder and employee at the non-profit Public Citizen.
Bank of America said that it will respond to the proposal in its proxy statement.
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