John Thain is staying mum about the billion-dollar bonuses he approved just weeks before Merrill Lynch came under the control of Bank of America.
New York Attorney General Andrew Cuomo, who is investigating the controversial Merrill bonuses, has filed a motion in court, seeking to compel Thain to talk about the subject, reports Reuters. Cuomo’s office says that during his sit-down with investigators last week, Thain refused to do so, claiming that Bank of America has told him to keep quiet.
Cuomo’s office is alleging that B of A is “obstructing and interfering” with his investigation.
That probe is seeking to determine what Bank of America knew, and when, about Merrill’s decision to award the bonuses, and about the massive losses that Merrill absorbed in the fourth quarter of last year, before it was formally taken over by B of A, but after the takeover had been announced.
B of A CEO Ken Lewis was subpoenaed last week, and another company exec was subpoenaed, along with Thain, before that.
Late Update: A spokesman for Thain told the Associated Press that Thain “would answer questions about individual bonuses if compelled by the court order.”
Disqus Conversations
Click here to read the Disqus Commenting FAQ.