Pennsylvania Attorney General Tom Corbett says the Bank of America will pay $67 million as part of a multi-state settlement in a scheme to rig bids and engage in other anti-competitive conduct in dealings with public entities.
He says the scheme enriched banks and brokers at the expense of the victims, including Montgomery County, the Pennsylvania Turnpike Commission, SEPTA and dozens of school districts including North Penn. The county is getting $2 million and North Penn is getting $34,500. Corbett says investigators focused on the marketing and sale of municipal derivative investments, which government agencies use to re-invest the proceeds of tax-exempt bond offerings. He says the Bank of America is not being prosecuted criminally because it voluntarily reported the wrongdoing.