Bank of America Corp (NYSE:BAC) Faces Dual Probes


Dallas, Texas 02/26/2014 (FINANCIALSTRENDS) – Bank of America Corp(NYSE:BAC) the US based banking services provider is yet again under the scanner. The company is now under a probe for housing program scams as well as forex.  The new mortgage problem as it is being called will bring on much more woes for one of the leading banks in the US. The federal investigators are currently looking at the various requirements which the bank allegedly over looked, when implementing one the country’s premier housing program.

Bank of America Corp(NYSE:BAC) and the Federal Housing Administration’s Direct Endorsement Program rule compliance is where the program appears to have slipped up. The company offered that the Eastern District of New York in Brooklyn is looking into alleged wrongdoing of the Bank of Americal. The disclosure of the annual report, which was filed before SEC indicated the latest developments.

Bank of America Corp(NYSE:BAC) spokesperson as well as the US Attorney Lynch failed to provide more details about the probe. Additionally, the North Carolina-based bank which is expected to file before the government authorities in North America as well as Europe and Asia will look more closely at the various conduct and practices of the bank. Under probe is the foreign exchange division of the bank as well.

Bank of America Corp(NYSE:BAC) is now facing the FHA probes after it was levelled against it by high-profile attorney PreeetBharara, in Manhanttan. Back in 2013, another bank the Citigroup Inc had agreed to pay over $158.3 million, later it was Deutsche Bank AG who agreed to pay $202.3 million to opt for out of court settlement. The third case, against the bank Wells Fargo & Co. is expected to reach conclusion at the earliest. Nearly most of the banks involved in alleged securities based fund mismanagement have opted for out of court settlement. Bank of America Corp(NYSE:BAC) may take the same course of action as well.

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