In June, a director at Bank of America described the company's 2008 acquisition of Countrywide Financial -- the mortgage lender whose holdings included thousands of toxic assets -- as "the worst deal we ever made."
On Monday, Bank of America hit the latest in a long series of roadblocks in trying to put that deal behind itself. The Federal Deposit Insurance Corporation, the government agency responsible for taking over failed banks, filed an objection with the State Supreme Court of New York regarding an $8.5 billion settlement BofA agreed to pay earlier this summer as a partial result of its Countrywide portfolio collapsing, Bloomberg Businessweek reports.
Bank of America announced in June that it would pay the settlement to a group of investors who claim they lost money when BofA mortgages fell through. But a number of parties have come forward to object to the terms of that settlement, according to Forbes -- including states and investors involved in the claim -- saying they lack sufficient information to tell if the settlement is appropriate
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