Does Bank of America Have a Secret?
July 15, 2009 by Stephen Kersey
Filed under Business
Bank of America has made a number of suspicious moves recently. According to a report in the Wall Street Journal, there may be a good reason for that — secret regulatory sanctions by the United States federal government.
In recent months, Bank of America has made a number of changes to their board of directors. According to this report, those changes were required by the secret regulatory sanction. Considering all of the overhauling taking place, this would certainly go a long ways toward explaining matters.
The secret regulatory sanctions also reported require Bank of America to take action on possible problems with their liquidity and risk management.
If Bank of America were to ignore the secret regulatory sanctions, the Wall Street Journal report indicates that the United States federal government could penalize the financial institution in a not-so-secret way.
Since May, Bank of America has stripped half a dozen directors of their titles including Kenneth Lewis, the former chairman.
Bank of America (Image: Flickr)
