For example, he said that he knew nothing about the Merill losses and bonuses…However as part of an acquisition, you’d think they’d be doing their due dilligence.
You have to remember that the acquisition is done in two steps. The intent to acquire was announced. What was not announced and was alluded to by Ken Miller, was that BofA wanted to back out the acquisition in terms of materiel grounds. This means that there was a large discrepancy of how Merrill was portraying itself and what BofA discovered when they ran the audit as a result of intent to acquire. I remember hearing the intent to back out.. and the next day I heard it was going through.. kind of strange (I think it was Nov/Dec 08 time frame). Shortly after I heard that there may be an additional 20Bil from the gov. for the merger. Really weird.
I think that the gov. can’t let BofA fail now because their fingerprints would be found all over the ‘murder weapon’..
