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Neon Tommy - Annenberg digital news

Bank Of America Settles Billion-Dollar Lawsuit

Paige Brettingen |
September 28, 2012 | 11:51 a.m. PDT

Executive Producer

(MoneyBlogNewz/Creative Commons)
(MoneyBlogNewz/Creative Commons)

Bank of America settled a $2.43 billion related class action lawsuit on Friday from its purchase of Merrill Lynch in 2008. The lawsuit had alleged that Bank of America executives made misleading statements about the health of its organization at the time.

"Resolving this litigation removes uncertainty and risk and is in the best interests of our shareholders," said Chief Executive Officer Brian Moynihan, according to Market Watch. "As we work to put these long-standing issues behind us, our primary focus is on the future and serving our customers and clients." Bank of America also said it would institute new corporate governance policies in the future.

Bank of America acquired Merrill Lynch for $500 billion right before the investment bank went bankrupt during the 2008 fallout.

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Find more Neon Tommy coverage on Bank of America here.

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