NY Pension Fund, BofA Settle Subprime Suit For $4.25M

Law360, New York (January 13, 2011, 2:31 PM EST) -- Bank of America Corp. unit Merrill Lynch & Co. Inc. has agreed to pay New York state's largest pension fund $4.25 million to resolve allegations that the company hid its exposure to risky mortgage-backed securities, New York State Comptroller Thomas DiNapoli announced Thursday.

The deal ends litigation against Merrill Lynch and two former top executives in the U.S. District Court for the Southern District of New York, though a related case against Bank of America will move ahead. The parties had agreed to dismiss the case...
To view the full article, register now.