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Bank of America Faces a 50 Billion Lawsuit by Share Holders


Bank of America is possibly facing a 50 billion dollar lawsuit by it's share holders for the purchase of  Merrill Lynch. The share holders are claiming that Bank of America did not inform them of a 15.3 billion dollar loss "in the days before and after the acquisition". The share holders believes that Bank of America did not disclose this information because they did not want their shareholders to go against them with the vote.  After the acquisition went through Bank of America disclosed that they were being given a 20 billion dollar bailout from the government.  Bank of America stocks fell 60% over a 2 week period. There was a total loss of 50 billion dollars to the share holders in stock price.