WSJ: BofA CEO says was told to be quiet on Merrill

WSJ via The Associated Press via Yahoo ^ | Thursday April 23, 2009, 1:48 am EDT

[Simmy2.5]

NEW YORK -- Bank of America Chief Executive Kenneth Lewis told the New York attorney general he believed former Treasury Secretary Henry Paulson and Fed Chairman Ben Bernanke wanted him to keep quiet about the worsening terms of the bank's acquisition of Merrill Lynch, according to testimony reviewed by The Wall Street Journal.

[Virginia Ridgerunner]

Lewis testified in February to New York Attorney General Andrew Cuomo's office, which has been trying to determine if Merrill and Charlotte, N.C.-based Bank of America failed to provide adequate disclosures to shareholders about the more than $15 billion in losses Merrill incurred in the 2008 fourth quarter and hefty bonus payments. Had they had that information, BofA shareholders might have voted down the deal.

Clear case of fraud on Lewis' part, egged on by Paulson and Bernanke. He should have never agreed to this.

[Carley]

The knives are out for Bernanke.

O wants a marixt in that spot.

[jiggyboy]

CNBC will be all over this today.

Aw damn I knew I couldn't say that with a straight face.

[Uncle Hal]

Right or wrong, I would guess Lewis will be gone soon. What a mess this whole banking situation is. The sooner the Feds get out the better. The government can only screw it up worse.

[happygrl]

The moneymen have done a RICO on the American taxpayer.