Banking, finance, and taxes
Bank Of America (BAC): A Very Small Fine For A Very Big Mistake
Published:
Last Updated:
Bank of America (BAC) got off with a $33 million fine “to settle charges that it made false and misleading statements” about bonuses paid to Merrill Lynch employees. The case what brought by the SEC.
Bank of America had said in filings that Merrill had agreed not to pay out bonuses until January 31, 2009, unless the bank gave specific permission to Merrill to do so. As it turned out, BAC had given permission to the brokerage to pay $3.6 billion in incentive compensation for 2008, after leaving the impression that the permission had not already been granted.
The fine seems small given the amount of shareholder money that went to employees at Merrill for performance in a year in which the company almost went out of business.
Douglas A. McIntyre
Want to Retire Early? Start Here (Sponsor)
Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?
Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
