Feds Probe BofA-Merrill Deal

Bank of America's acquisition of Merrill Lynch is the focus of an ongoing investigation by the FBI and Justice Department, sources tell the Charlotte Observer, the bank's hometown paper. The SEC and the AGs of New York and North Carolina have already launched civil probes of the timing of huge bonuses paid to Merrill execs shortly before the deal closed; the feds' involvement indicates that criminal charges may also be in play.

DoJ and FBI reps refused to say whether investigations are underway, but a BofA spokesman said, "Various government agencies that are continuing to look at the issues associated with Merrill Lynch."
(More Bank of America stories.)