Bank of America should pay fine

Six weeks ago, I wrote to the Bank of America offices in Florida. No answer.

Attorney General Eric Holder announced that Bank of America will pay $16 billion for fraud in handling home mortgage loans in 2008. Thank Holder for his good work. But it might cost Bank of America only $12 billion. The bank can write off part of the settlement as an ordinary business expense on its taxes. A fine for fraud becomes “ordinary business expense.”

So I wrote Bank of America and suggested it act ethically and not declare the fine as an “ordinary business expense.” Bank of America has no answer.

This story was originally published October 23, 2014 at 7:01 PM with the headline "Bank of America should pay fine."