The question goes around and around. What did Bank of America (BAC) know about Merrill Lynch's fourth quarter 2008 prospects before it closed its acquisition of the brokerage firm? Were the big losses something that B of A knew about in detail, or did Merrill effectively hide some of them? If so, B of A officials may have been surprised by the magnitude of the problem
Bank of America CEO Ken Lewis has tried to distance himself from the questions of how much he knew about Merrill's problems late last year. But that is becoming harder to do as time passes.