BofA Chief Lewis in for Congressional Grilling Tomorrow

By Jennifer Parker

Jun 10, 2009 5:57pm

Just saw an internal memo for a congressional hearing tomorrow with Bank of America CEO Ken Lewis.

Looks like he's in for tough questions on the Merrill deal.

Lewis, whose bank has accepted $45 billion in U.S. financial rescue funds, will appear before the House Committee on Oversight and Government Reform Thursday.

The committee is investigating a $138 billion air package the government gave to Bank of America to absorb Merrill Lynch & Co.

The hearing may shed light on an investigation into whether government officials pressured Bank of America to withhold details about the deal from investors.

In his remarks prepared for testimony tomorrow, Lewis suggests his bank and top government officials from the Bush administration were in a standoff over an attempt by Bank of America to back out of buying the beleaguered brokerage house.

Lewis has been pressured to shake up his management team and board in the wake of last
month’s stress tests.  How he handles tomorrow may determine how long he can keep his
own job.

–George Stephanopoulos

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