MIRA INFORM REPORT

 

 

Report Date :

30.10.2012

 

IDENTIFICATION DETAILS

 

Name :

BANK OF AMERICA N.A.

 

 

Representative  Office :

Express Towers, Nariman Point, P. O. Box 11506, Mumbai – 400021, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

06.04.1964

 

 

Capital Investment / Paid-up Capital :

Rs.9853.492 Millions

 

 

FCRN No.:

F00689

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMB08227C

 

 

Legal Form :

Foreign Bank

 

 

Line of Business :

Subject engaged in Treasury and Corporate Banking.

 

 

No. of Employees :

Information declined by management

 


 

RATING & COMMENTS

 

MIRA’s Rating :

A (69)

 

RATING

STATUS

PROPOSED CREDIT LINE

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

Fairly Large

 

Maximum Credit Limit :

USD 160000000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Exits

 

 

Comments :

Subject is an old and world largest financial institution. Providing services to small and middle market business and large corporate a banking service.

 

It is a well established bank having good track. Financially bank appears to be strong. Trade relations are reported to be trust worthy. Business is active. Payments are reported to be regular and as per commitments.

 

The bank can be considered for normal business dealings at usual trade terms and conditions.   

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

INDIAN ECONOMIC OVERVIEW

 

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

FITCH

Rating

LONG TERM RATING : FITCH A

Rating Explanation

Having strong credit risk. However, changes in circumstances or economic condition may affect the capacity for timely repayment on these financial commitments.  

Date

September, 2012

 

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

 

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

 

 

INFORMATION DECLINED

 

MANAGEMENT NON CO-OPERATIVE

(91-22-66323000 / 22852882)

 

LOCATIONS

 

Registered Office :

Located at

 

United State of America

Tel. No.:

Not Available

Fax No.:

Not Available

 

 

Representative Office :

Express Towers, Nariman Point, P. O. Box 11506, Mumbai – 400021, Maharashtra, India 

Tel. No.:

91-22-66323000 / 22852882

E-Mail :

dg.secretarial@baml.com

 


 

MANAGEMENT

 

As on 31.03.2012

 

Name :

Mr. Kaku Nakhate

Designation :

Chief Executive Officer

 

 

Name :

Mr. Kumar Shah

Designation :

Chief Financial Officer

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

Not Available

 

BUSINESS DETAILS

 

Line of Business :

Subject engaged in Treasury and Corporate Banking.

 

 

GENERAL INFORMATION

 

No. of Employees :

Information declined by management

 

 

Bankers :

Reserve Bank of India

 

 

Facilities :

Borrowings

As on

31.03.2012

(Rs. in

Millions)

As on

31.03.2011

(Rs. in

Millions)

 

 

 

I. Borrowings in India

 

 

i) Reserve Bank of India

8200.000

4000.000

ii) Other Banks

8000.000

5450.000

iii) Other Institutions and Agencies

27098.106

2966.518

Total (I)

43298.106

12416.518

 

 

 

II. Borrowings outside India

9845.598

6955.559

Total (I + II)

53143.704

19402.077

 

 

 

Secured borrowings in I and II above

35298.106

6996.518

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

BSR and Company

Chartered Accountants

 

 

Ultimate Controlling Enterprise :

·         Bank of America Corporation

 

 

Subsidiaries :

·         Banc of America Securities (India) Private Limited (BASIL)

·         Bank of America Singapore Limited

·         Banc of America Securities Asia Limited

 

 

Fellow Subsidiaries :

·         BA Continuum India Private Limited (BA Continuum Private Limited has been merged with BA Continuum India Private Limited w.e.f. February 8, 2012, the appointed date of merger being April 1, 2009)

·         DSP Merrill Lynch Limited

·         DSP Merrill Lynch Capital Limited

 

 

CAPITAL STRUCTURE

 

As on 31.03.2012

 

CAPITAL

 

 

Particulars

31.03.2012

Rs. In Millions

 

 

 

I

Amount of deposit kept with Reserve Bank of India under Section 11(2)(b)(ii) of the Banking Regulation Act, 1949

8030.000

 

 

 

II

Amount brought in as start-up capital

2.000

 

Tier I Capital augmented by Head Office

9851.492

 

TOTAL

9853.492

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

(INDIA BRANCH)

 

CAPITAL AND  LIABILITIES

31.03.2012

31.03.2011

31.03.2010

 

 

 

 

Capital

9853.492

9853.492

9853.492

Reserves and Surplus

30612.753

25358.165

21131.811

Deposits

59648.638

59689.055

54903.262

Borrowings

53143.704

19402.077

43689.775

Other Liabilities and Provisions

8520.327

7619.785

5230.665

 

 

 

 

TOTAL

161778.914

121922.574

134809.005

 

 

 

 

ASSETS

 

 

 

 

 

 

 

Cash and balances with  Reserve Bank of India

4196.962

5148.245

8184.524

Balances with banks and  money at call and short notice

2424.095

219.662

81.053

Investments

82258.155

48605.942

83828.602

Advances

62053.674

58591.405

36311.567

Fixed Assets

422.786

310.970

253.669

Other Assets

10423.242

8974.350

6149.590

 

 

 

 

TOTAL

161778.914

121850.574

134809.005

 


PROFIT & LOSS ACCOUNT

(INDIA BRANCH)

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

 

 

 

 

 

INCOME

 

 

 

 

Interest earned

11131.212

7252.873

5686.156

 

Other income

5078.777

5809.858

4928.582

 

TOTAL

16209.989

13062.731

10614.738

 

 

 

 

 

 

EXPENDITURE

 

 

 

 

Interest expended

4238.846

1975.332

1859.925

 

Operating expenses

4054.998

3585.313

2438.598

 

Provisions and  Contingencies

2661.557

3275.732

2811.718

 

TOTAL

10955.401

8836.377

7110.241

 

 

 

 

 

 

PROFIT

 

 

 

 

Net profit for the year

5254.588

4226.354

3504.497

 

Profit/(loss) brought forward

0.000

0.000

1818.800

 

TOTAL

5254.588

4226.354

5323.297

 

 

 

 

 

 

APPROPRIATIONS

 

 

 

 

Transfer to Statutory Reserves Amount retained in India for meeting Capital to Risk-weighted Asset ratio

1313.647

1056.589

876.124

 

(CRAR)

0.000

0.000

1818.800

 

Transfer to Revenue and Other Reserves

0.000

3169.765

2628.373

 

Balance carried over to  Balance Sheet

3940.941

0.000

0.000

 

TOTAL

5254.588

4226.354

5323.297

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check List by Info Agents

Available in Report (Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

 

8]

No. of employees

No

9]

Name of person contacted

No

10]

Designation of contact person

No

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

--

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

No

20]

Export / Import details (if applicable)

No

21]

Market information

--

22]

Litigations that the firm / promoter involved in

--

23]

Banking Details

Yes

24]

Banking facility details

Yes

25]

Conduct of the banking account

--

26]

Buyer visit details

--

27]

Financials, if provided

Yes

28]

Incorporation details, if applicable

Yes

29]

Last accounts filed at ROC

Yes

30]

Major Shareholders, if available

No

31]

Date of Birth of Proprietor/Partner/Director, if available

No

32]

PAN of Proprietor/Partner/Director, if available

No

33]

Voter ID No of Proprietor/Partner/Director, if available

No

34]

External Agency Rating, if available

Yes

 

LITIGATION DETAILS

 

BANK OF AMERICA, N.A VS RAUSCHNOT

NOTICE OF MORTGAGE FORECLOSURE SALE

 

OTICE OF MORTGAGE FORECLOSURE SALE

 

THE RIGHT TO VERIFICATION OF THE DEBT AND IDENTITY OF THE ORIGINAL CREDITOR WITHIN THE TIME PROVIDED BY LAW IS NOT AFFECTED BY THIS ACTION.

 

NOTICE IS HEREBY GIVEN, that default has occurred in the conditions of the following described mortgage:

 

DATE OF MORTGAGE: July 14, 2009

 

ORIGINAL PRINCIPAL AMOUNT OF MORTGAGE: $226,809.00

 

MORTGAGOR(S): Karen Rauschnot, unmarried

 

MORTGAGEE: Bank of America, N.A.

 

LENDER OR BROKER AND MORTGAGE ORIGINATOR STATED ON THE MORTGAGE: Bank of America, N.A.

 

SERVICER: Bank of America, N.A.

 

DATE AND PLACE OF FILING: Filed August 5, 2009, Dakota County Recorder, as Document Number 2676229

 

LEGAL DESCRIPTION OF PROPERTY:

 

Lot Two (2), Block One (1), Dhaene Addition

 

PROPERTY ADDRESS: 2750 E 70Th St, Inver Grove Heights, MN 55076

 

PROPERTY IDENTIFICATION NUMBER: 20-21050-01-020

 

COUNTY IN WHICH PROPERTY IS LOCATED: Dakota

 

THE AMOUNT CLAIMED TO BE DUE ON THE MORTGAGE ON THE DATE OF THE NOTICE: $263,532.58

 

THAT all pre-foreclosure requirements have been complied with; that no action or proceeding has been instituted at law or otherwise to recover the debt secured by said mortgage, or any part thereof;

 

PURSUANT, to the power of sale contained in said mortgage, the above described property will be sold by the Sheriff of said county as follows:

 

DATE AND TIME OF SALE: November 15, 2012, 10:00am

 

PLACE OF SALE: Sheriff's Main Office, Dakota County Law Enforcement Center, 1580 Hwy 55, Lobby S-100, Hastings, MN 55033

 

to pay the debt secured by said mortgage and taxes, if any, on said premises and the costs and disbursements, including attorneys fees allowed by law, subject to redemption within 6 months from the date of said sale by the mortgagor(s) the personal representatives or assigns.

 

TIME AND DATE TO VACATE PROPERTY: If the real estate is an owner-occupied, single-family dwelling, unless otherwise provided by law, the date on or before which the mortgagor(s) must vacate the property, if the mortgage is not reinstated under section 580.30 or the property is not redeemed under section 580.23, is 11:59 p.m. on May 15, 2013.

 

"THE TIME ALLOWED BY LAW FOR REDEMPTION BY THE MORTGAGOR, THE MORTGAGOR'S PERSONAL REPRESENTATIVES OR ASSIGNS, MAY BE REDUCED TO FIVE WEEKS IF A JUDICIAL ORDER IS ENTERED UNDER MINNESOTA STATUTES SECTION 582.032 DETERMINING, AMONG OTHER THINGS, THAT THE MORTGAGED PREMISES ARE IMPROVED WITH A RESIDENTIAL DWELLING OF LESS THAN 5 UNITS, ARE NOT PROPERTY USED FOR AGRICULTURAL PRODUCTION, AND ARE ABANDONED.

 

Dated: September 21, 2012

 

BANK OF AMERICA, N.A.

 

Mortgagee

 

SHAPIRO AND ZIELKE, LLP

 

Lawrence P. Zielke - 152559

 

Diane F. Mach - 273788

 

Melissa L. B. Porter - 0337778

 

Ronald W. Spencer - 0104061

 

Stephanie O. Nelson - 0388918

 

Randolph W. Dawdy - 2160X

 

Gary J. Evers - 0134764

 

Attorneys for Mortgagee

 

12550 West Frontage Road, Ste. 200

 

Burnsville, MN 55337

 

(952) 831-4060

 

PURSUANT TO THE FAIR DEBT COLLECTION PRACTICES ACT, YOU ARE ADVISED THAT THIS OFFICE IS DEEMED TO BE A DEBT COLLECTOR. ANY INFORMATION OBTAINED WILL BE USED FOR THAT PURPOSE. THIS NOTICE IS REQUIRED BY THE PROVISIONS OF THE FAIR DEBT COLLECTION PRACTICES ACT AND DOES NOT IMPLY THAT WE ARE ATTEMPTING TO COLLECT MONEY FROM ANYONE WHO HAS DISCHARGED THE DEBT UNDER THE BANKRUPTCY LAWS OF THE UNITED STATES.

 

ARNETT V. BANK OF AMERICA

 

Case Number: 11-cv-1372

Practice Areas: Consumer Protection, Insurance and Financial Products and Services

Case Status: Pending

Court: United States District Court for the District of Oregon

 

Berger and Montague filed a class action complaint in the United States District Court for the District of Oregon alleging that Bank of America requires certain borrowers to purchase flood insurance in excess of what their mortgage contract and federal law requires.  On July 11, 2012, Judge Michael Simon denied Bank of America's Motion for Judgment on the Pleadings with respect to the breach of contract and conversion claims.  A copy of the Order is available here.  The case is currently in discovery.

 

When a lender originates or services a home equity or mortgage loan for customers who pledge their home or condominium unit located in a "Special Flood Hazard Area" as collateral, federal law requires proof of adequate flood insurance as a condition of obtaining the loan.

 

Subsequent to closing, Bank of America sends some customers form notices informing them that their flood insurance is inadequate under federal law and/or the mortgage contract. Bank of America requires that these customers purchase flood insurance that exceeds the bank's security interest in the home or, alternatively, exceeds the replacement cost of the home. Bank of America misrepresents that the flood insurance requirement is in line with federal laws for homeowners in "Special Flood Hazard Areas." Bank of America then continues to send a series of letters asking for more information and explaining Bank of America's intention to force-place flood insurance.

 

Ultimately, Bank of America purchases the flood insurance policy at a high premium and assesses the premium costs on the homeowner. The cost of the policy is either deducted from the home equity account or added to the mortgage balance. As a result, the customers have no choice but to pay the premiums.

 

If you obtained a home equity loan or mortgage from Bank of America and were forced to buy flood insurance by Bank of America even though you were covered by an adequate flood insurance policy, you may be entitled to financial compensation.

 

BACKGROUND

 

The financial statements for the year ended March 31, 2012 comprise the accounts of the India branches of subject which is incorporated in the United States of America with limited liability.

 

CONTINENT LIABILITY:

(Rs. In Millions)

PARTICULARS

31.03.2012

31.03.2011

 

 

 

Claims against the Bank not acknowledged as Debts (including tax related matters)

458.116

636.881

Liability for partly paid investments

0.000

0.000

Liability on account of outstanding forward exchange contracts

2123994.203

1142576.943

Liability on account of outstanding derivative contracts

3304274.652

3843170.511

Guarantees given on behalf of constituents

(a) in India

(b) outside India

 

10286.182

3153.301

 

10719.377

2453.699

Acceptances, endorsements and other obligations

9533.517

8689.057

Other items for which the Bank is contingently liable

 

 

Committed Lines of credit

7968.633

7682.767

Bills re-discounted

3695.563

0.000

 

 

WEBSITE DETAILS:

 

HISTORY

 

Subject is incorporated in the USA, and operates through its branches in India. It commenced operations in India through its Mumbai branch in 1964. Bank of America offers a comprehensive suite of financial products and solutions to top Indian Corporates, Multinationals, Multilateral agencies and Foreign Government entities and Financial Institutions.

 

The bank has its India headquarters in Mumbai, with five branch offices across Mumbai, New Delhi, Kolkata, Chennai, and Bangaluru. With an India presence for nearly five decades, Bank of America is committed to its clients in India and has a well established track record and market expertise in Indian financial markets.

 

The bank has carved a niche for itself as a leading global financial firm, one which delivers insightful solutions to clients combined with an extended global reach and a strong emphasis on building long term relationships. The bank's India-based coverage specialists and product professionals work together to leverage Bank of America's global strength to meet clients' comprehensive needs including working capital needs, treasury management, trade finance and solutions, capital raising, risk management, forex and fixed income.

 

The global merger of Merrill Lynch with a subsidiary of Bank of America Corporation additionally brings to our clients an enhanced product suite of services through DSP Merrill Lynch, a pre-eminent investment banking, securities and wealth management services' firm. The group brings a unique blend of global reach and local expertise sharing over 100 years of combined India experience. DSP Merrill Lynch is an affiliate of Merrill Lynch and Co., a subsidiary of Bank of America Corporation

 

PRESS RELEASE:

 

BANK OF AMERICA DECLARES QUARTERLY DIVIDENDS

CHARLOTTE, N.C. OCTOBER, 24 2012

 

 Bank of America Corporation today announced the Board of Directors declared a regular quarterly cash dividend on Bank of America common stock of $0.01 per share, payable on December 28, 2012 to shareholders of record as of December 7, 2012.

 

The board also declared a regular quarterly cash dividend of $1.75 per share on the 7 percent Cumulative Redeemable Preferred Stock, Series B. The dividend is payable on January 25, 2013 to shareholders of record as of January 11, 2013.

 

Bank of America

 

Bank of America is one of the world's largest financial institutions, serving individual consumers, small- and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving more than 55 million consumer and small business relationships with approximately 5,500 retail banking offices and approximately 16,300 ATMs and award-winning online banking with 30 million active users. Bank of America is among the world's leading wealth management companies and is a global leader in corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to more than 3 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations in more than 40 countries. Bank of America Corporation stock (BAC) is a component of the Dow Jones Industrial Average and is listed on the New York Stock Exchange.

 

 

BANK OF AMERICA SUED FOR $1BN FOR ALLEGED MORTGAGE FRAUD

BANK OF AMERICA IS BEING SUED FOR $1BN (£624M) FOR ALLEGED MORTGAGE FRAUD.

24 OCTOBER 2012

 

The civil lawsuit has been brought by the US Attorney Preet Bharara, the top federal prosecutor in Manhattan, New York.

 

He accuses Countrywide Financial, which Bank of America bought in 2008, of selling thousands of toxic home loans to Fannie Mae and Freddie Mac.

 

Fannie Mae and Freddie Mac are government agencies that support the US mortgage market.

 

Bank of America has yet to comment.

 

Countrywide is accused of running a trading scheme from 2007 to 2009 that was deliberately designed to process loans at high speed without checks on their quality.

 

Mr Bharara said: "This lawsuit should send another clear message that reckless lending practices will not be tolerated."

 

He added that Countrywide's practices were "spectacularly brazen in scope."

Similar cases

 

The legal action against Bank of America follows similar moves by the US government earlier this month against Wells Fargo and JP Morgan Chase.

 

On 2 October, JP Morgan was sued for allegedly defrauding investors who lost more than $20bn on mortgage-backed securities sold by Bear Stearns.

 

JP Morgan, which bought the investment bank in March 2008, said the allegations related to actions at Bear Stearns prior to its takeover.

 

Meanwhile, on 10 October, Wells Fargo was also sued by federal authorities for alleged mortgage fraud.

 

The US government alleges that Wells Fargo lied about the quality of mortgages it handled, leading to huge losses for the Federal Housing Administration.

 

Wells Fargo has denied the allegations.

 

BANK OF AMERICA TO PAY $2.43 BILLION TO END LAWSUIT OVER MERRILL LYNCH

SEPTEMBER 15, 2011

 

NEW YORK -- Bank of America (BAC) says it has agreed to pay $2.43 billion to settle a class-action lawsuit related to its acquisition of Merrill Lynch.

 

The lawsuit was filed on behalf of investors that bought or held Bank of America stock when the company announced its plans to buy Merrill Lynch as the banking industry and federal government struggled to contain fallout from the financial crisis in the fall of 2008.

 

Among the plaintiffs allegations was that Bank of America and some of its officers made false or misleading statements about both companies' financial health.

 

In announcing the proposed settlement on Friday, Bank of America denied the allegations and says it agreed to the settlement to get rid of the uncertainties, burden and costs related to the lawsuit.

 

"As we work to put these long-standing issues behind us, our primary focus is on the future and serving our customers and clients," Bank of America CEO Brian Moynihan said in a statement.

 

The settlement still needs court approval and will be reviewed by Judge Kevin Castel in the United States District Court for the Southern District of New York.

 

As part of the settlement, the bank has also agreed to adopt several corporate governance policies until Jan. 1, 2015. These policies include those related to majority voting in board member elections, annual disclosure of noncompliance with stock ownership guidelines, policies for a board committee regarding future acquisitions, the independence of the board's compensation committee and its compensation consultants and conducting an annual "say-on-pay" vote by shareholders.

 

The bank said Friday that it will pay for the settlement with existing litigation reserves and about $1.6 billion in litigation expense that will be recorded in its third quarter. The company cautioned that this expense, coupled with some other charges, is expected to lower its third-quarter earnings by about 28 cents per share.

 

Bank of America will report its third-quarter financial results on Oct. 17.

 

Shares of Bank of America Corp. fell 7 cents to $8.90 in premarket trading Friday.

 

BANK OF AMERICA MERRILL LYNCH EXPANDS COMMERCIAL CARD CAPABILITIES

ADDS ARGENTINA, CZECH REPUBLIC, FINLAND, POLAND AND SCANDINAVIA; LAUNCHES SEPA DIRECT DEBIT

JULY 26, 2012

 

 Bank of America Merrill Lynch, a leading provider of transaction services, today announced that its card solutions are now available in Argentina, the Czech Republic, Finland and Poland, as well as the Scandinavian countries of Denmark, Norway and Sweden. In addition, the company announced plans to make available Single Euro Payments Area (SEPA) Direct Debits.

 

The addition of the seven countries reaffirms the company’s position as a leading provider of card solutions to large and middle-market companies and government entities around the world. By the end of 2012, BofA Merrill’s global card offering will be available in more than 70 countries*.

 

Under SEPA, the eurozonewide payment program initiative, all existing, country-specific local payment instruments will be replaced by 2014. Through investment in SEPA Direct Debits technology, BofA Merrill will enable commercial card clients to benefit from the operational simplification and cost savings created by the harmonization of multiple instruments and reduced number of paper mandates that need to be managed for cardholders.

 

“As more companies seek growth internationally, they are realizing the inherent advantages – such as transparency and risk controls – that card programs bring to managing cross-border payments,” said Kevin Phalen, head of Global Card and Comprehensive Payables at BofA Merrill. “Our new country capabilities underscore the company’s commitment to provide global card solutions for its clients. We are continually investing in our programs to ensure our products directly match the needs of our clients.”

 

“SEPA Direct Debits is another example of our continued investment in our Commercial Card capabilities,” said Duncan Kennett, director, EMEA Commercial Card at BofA Merrill. “We took the step of investing in this technology as early as possible so that we could help our clients get a head start in the SEPA conversion process. The early adoption will help them avoid future disruptions and more quickly realize the benefits of SEPA.”

 

BofA Merrill’s Commercial Card and Comprehensive Payables group, which is part of the Global Transaction Services business, develops strategies and solutions that are closely aligned to the treasury goals of corporate, commercial and government entities.

 

Added Phalen: “Investment in our own capabilities has facilitated seamless interaction between our Card specialists and our treasury and cash management advisors. We believe this combined proposition which integrates the expertise of both business areas makes us well positioned to advise our clients and offer tailored products that address the specific working capital needs facing companies and government agencies.“

 

* Some of Bank of America Merrill Lynch’s solutions, including those offered in Argentina, are offered through local issuing banks.

 

About Bank of America Merrill Lynch Commercial Card

Bank of America Merrill Lynch is a leading provider of card solutions to large and middle market companies, globally, and to federal, state and local government entities in the United States. BofA Merrill’s Commercial Card group works with these organizations to design integrated ePayments solutions that help unlock working capital while increasing efficiency, visibility and control.

 

As part of the Global Treasury Solutions business, BofA Merrill’s Commercial Card and Comprehensive Payables group develops strategies and solutions that are closely aligned to the treasury goals of corporate, commercial and government entities.

 

BofA Merrill cardholders can be served in numerous languages and have access to a worldwide network of more than 32 million credit card merchants and ATMs.

 

In 2011, the bank added new card solutions in 18 countries, and by the end of 2012, it plans to offer card solutions in more than 70 countries and 29 currencies.

 

Bank of America

Bank of America is one of the world's largest financial institutions, serving individual consumers, small- and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 56 million consumer and small business relationships with approximately 5,600 retail banking offices and approximately 16,200 ATMs and award-winning online banking with 30 million active users. Bank of America is among the world's leading wealth management companies and is a global leader in corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 4 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations in more than 40 countries. Bank of America Corporation stock (NYSE: BAC) is a component of the Dow Jones Industrial Average and is listed on the New York Stock Exchange.

 

Bank of America Merrill Lynch is the marketing name for the global banking and global markets businesses of Bank of America Corporation. Lending, derivatives, and other commercial banking activities are performed globally by banking affiliates of Bank of America Corporation, including Bank of America, N.A., member FDIC. Securities, strategic advisory, and other investment banking activities are performed globally by investment banking affiliates of Bank of America Corporation (“Investment Banking Affiliates”), including, in the United States, Merrill Lynch, Pierce, Fenner and Smith Incorporated, which is a registered broker-dealer and a member of FINRA and SIPC, and, in other jurisdictions, locally registered entities. Investment products offered by Investment Banking Affiliates: Are Not FDIC Insured * May Lose Value * Are Not Bank Guaranteed.

 

BROOKSTONE LAW, PC, FILES LANDMARK MASS JOINDER LAWSUIT AGAINST BANK OF AMERICA AND COUNTRYWIDE

LAW FIRM DEDICATED TO PROTECTING CONSUMERS’ RIGHTS ALLEGES MASSIVE FRAUD

NEWPORT BEACH, CA (VOCUS/PRWEB) FEBRUARY 15, 2011

 

 Brookstone Law, PC, has filed a mass joinder lawsuit against Bank of America, potentially the most significant and precedent setting legal action taken against lenders as a result of the national foreclosure crisis, it was announced today by Vito Torchia, Jr., managing attorney of Brookstone Law PC.

 

The lawsuit alleges Bank of America (BOA) and its subsidiary Countrywide Financial Corporation (Countrywide) perpetrated a massive fraud, also constituting unfair competition upon borrowers that devastated the values of their residences, resulting in the loss of net worth, and that BOA and Countrywide intended to deprive numerous rights and remedies for the problems they caused the borrowers. The case is Wright et al v. Bank of America, N.A. et al., case no.30-2011-00449059-CU-MT-CXC filed in Orange County Superior Court and was filed February 9, 2011.

 

“This was the ultimate high-stakes fraudulent investment scheme of the last decade,” said Vito Torchia, Jr. “Couched in banking and securities jargon, the deceptive gamble with consumers homes was a financial fraud perpetrated on a scale never before seen in this country,”

 

The lawsuit accuses Countrywide founder and CEO Angelo Mozilo of knowing that Countrywide could not sustain its business unless it used its size and large market share in California to systematically create false and inflated property appraisals throughout California. It further claims that Countrywide used these false property valuations to induce borrowers into ever-larger loans on increasingly risky terms and that Mozilo knew as early as 2004 that the loans were unsustainable and would result in a crash that would destroy the equity invested by borrowers and their net worth.

 

The lawsuit's filing coincides with a recent decision in a class action suit in Maryland that invalidated more than 10,000 foreclosure cases managed by GMAC Mortgage because affidavits in the cases were signed by a GMAC “robo-signer” who, according to court documents, attested to the authenticity of foreclosure documents without any knowledge about them, as well as signing other false statements in the case Manson v. GMAC Mortgage LLC, 08-cv-12166, U.S. District Court, District of Massachusetts (Boston).

 

According to court documents, the lawsuit claims Mozilo and others at Countrywide “pooled” those mortgages and sold them for inflated value which disregarded underwriting standards and fraudulently inflated property values in order to take business from legitimate mortgage-providers, implement a massive securities fraud that was concealed from borrowers and other mortgagees on an unprecedented scale. When Countrywide pooled the loans and sold them, the company recorded gains on the sales. In 2005, Countrywide reported $451.6 million in pre-tax earnings from capital market sales and the next year it reported $553.5 million in pre-tax earnings from that activity.

 

“Countrywide did not care about the borrowers who would suffer because their plan was based on insider trading that would generate profits for them as long as possible and then allow them get out before the truth of their activities was exposed and losses were locked in,” said Vito Torchia, Jr. According to Torchia, the scheme resulted in the mortgage meltdown in California that was substantially worse than in any other region of the United States. Starting in 2008, Californians’ home values have decreased by considerably more than most other areas in the United States as a direct result of the scheme.

 

The lawsuit alleges that, as a result, borrowers lost equity in their homes, their credit ratings and histories were destroyed and they incurred unnecessary costs and expenses. At the same time, Countrywide was paid billions of dollars in interest payments and fees and generated billions of dollars in profits by selling their loans at inflated values. Countrywide then used borrowers’ private information to generate more profits: the lawsuit also alleges privacy violations ranging from disclosure of the private and confidential information of more than 2.4 million customers to outsourcing and sale of hundreds of thousands of to bolster the fraudulent loan pooling scheme, resulting in the disenfranchising of thousands of borrowers’ inalienable rights of privacy.

 

According to court documents, lead Plaintiff John Wright bought his first home in 2004 and Countrywide provided financing with a first and second loan. Less than a year later, Countrywide contacted Mr. Wright and encouraged him to refinance into an adjustable rate loan. As a first time home buyer who relied on Countrywide and their reputation and experience, he accepted their direction, which resulted in a new first loan in 2005. But after the negative effects of sub-prime loans became public in 2007, Mr. Wright contacted Countrywide to refinance his loan into a fixed rate loan, but this time, Countrywide said they were “too busy” and that he should wait to refinance, despite the fact that fixed rate loans were then at about a lower interest rate than what he was paying.

 

"The American people are no longer going to tolerate fraudulent and abusive banking methods and we are organizing the most powerful protest and legal action Bank of America has ever seen,” John Wright said. “Piggybankblog.com, myself and my supporters are a force to be reckoned with and we intend to build the most effective coalition that the “Bank of Destroying and Abusing America” has seen while the American people hold them accountable for their actions that led to the destruction of the American dream for so many people like me."

 

According to the filing, Countrywide eventually allowed Mr. Wright to refinance and the company recommended an appraiser who provided an appraisal that later turned out to be inflated. When Countrywide refinanced his loan into a new fixed loan it was at a higher rate than that which was available to him when he started the process. The lawsuit claims that this “churning” of his mortgages allowed Countrywide to reap multiple fees, profits and higher interest rates at Mr. Wright’s expense. After allowing him to refinance, Countrywide then erected numerous obstacles to Mr. Wright’s attempts to modify his loan due to difficulty making payments and when they did, they approved a loan modification that reduced his payments of more than $3,300 a month by only about $61.

 

In 2007, when Mr. Wright retained a law firm to assist him, Countrywide falsely claimed they had never received a letter from Mr. Wright’s representatives, that his legal counsel was not a real law firm and instructed him not to use an attorney to obtain help with his loan modification.

 

“I cannot help but conclude that as a direct result of my experiences and Bank of America's potentially irregular, fraudulent and simply abusive home loan modification process, we are losing our ability and right to pursue the American dream of life, liberty and the pursuit of happiness,” John Wright said. “That’s why it gives me great pleasure to participate in this lawsuit, which I call "The American People vs. Bank of America."

 

Then, after Countrywide changed its name and became a subsidiary of BOA, and even though BOA was aware Mr. Wright was represented by a law firm, the Bank began a series of harassing phone calls to Mr. Wright seeking payments for the loan. Court documents show BOA subsequently engaged in delaying tactics including claiming necessary documents were missing or never received even though they had been sent repeatedly to BOA by Mr. Wright. BOA then assured Mr. Wright that he had nothing to worry about and apologized to him, blaming their own incompetence for the lost documents.

 

Court documents show Mr. Wright then received a letter from BOA that denied the loan modification and demanded a lump sum payment. Mr. Wright called BOA and was told to disregard that letter and that he was qualified for a loan modification. BOA then told Mr. Wright the letter “went out in error” and that the Bank had “millions of calls” about the erroneous letters like this one it had sent out to borrowers. According to court documents, at the time BOA also told Mr. Wright not to pay his mortgage payments for a period of time.

 

Mr. Wright launched his blog site “Piggybankblog.com” at http://www.piggybank.com in 2010 to publicly expose the alleged wrongful activities by BOA. On the blog, Mr. Wright has posted tape recordings of numerous conversations with Countrywide and BOA representatives, made with their knowledge and consent, along with details of the misleading and false information provided by BOA and descriptions of the myriad problems caused to him and other borrowers by Countrywide and BOA. In one recorded conversation, a trainer for BOA at a public forum stated that what BOA would do with calls from homeowners like him trying to modify their loans was to “send it into the black hole” and that there was “no profit in doing loan modifications for borrowers.”

 

“Mr. Wright’s unfortunate experiences are exactly what thousands of homeowners have gone through as a result of Countrywide executives and Bank of America’s horrible customer service and loan practices,” said Vito Torchia, Jr. “Bad actors like BOA and Countrywide executives must be held responsible for the irreparable and massive damage done to people’s lives and the State of California due to their unbridled greed and avarice.”

 

ABOUT BROOKSTONE LAW, PC

Based in Newport Beach, with offices in Los Angeles, CA, and Ft. Lauderdale, FL, Brookstone Law, PC, is a law firm comprised of attorneys with experience and success in business, corporate and personal finance, employment, entertainment and media, art and museum, intellectual property and real estate law. The firm has a network of more than 40 affiliate attorneys nationwide and employs highly trained specialists, paralegals, paraprofessionals and administrative staff dedicated to serving our clients.


CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                              None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                          None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                          None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 


 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.53.81

UK Pound

1

Rs.86.52

Euro

1

Rs.69.50

 

 

INFORMATION DETAILS

 

Information Gathered by :

SVA    

 

 

Report Prepared by :

BSN

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

7

PAID-UP CAPITAL

1~10

8

OPERATING SCALE

1~10

8

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

8

--PROFITABILIRY

1~10

8

--LIQUIDITY

1~10

7

--LEVERAGE

1~10

8

--RESERVES

1~10

8

--CREDIT LINES

1~10

7

--MARGINS

-5~5

-

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

YES

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

69

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 


 

 

RATING EXPLANATIONS

 

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

-

NB

                                       New Business

-

 

7

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.