Bank of America Would Like to Escape Secret Government Scrutiny

Gargantuan lender Bank of America is trying to get out of a financial crisis - era government restriction that subjects big decisions like dividend increases to regulatory scrutiny, The Wall Street Journal reports.

From a perch in BofA's North Carolina headquarters, regulators currently scrutinize the bank's major moves and are privy to the bank's daily operations. Says the Journal:

Another benefit of lifting the sanction would be freedom from the memorandum's psychological stigma; it remains the most serious procedural action taken against Bank of America as a result of the financial crisis.

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People close to the bank thought Bank of America would be free by now, saying the bank has done everything asked of it by regulators. But one person familiar with the discussions said the bank hasn't completed all the requirements.

Pesky government meddling in Bank of America's business doesn't stop there; New York Attorney General Andrew Cuomo continues his investigation into a potential fraud by BofA, its former CEO Kenneth Lewis and its former CFO Jeff Price. Cuomo accuses the bank of misleading the government about the danger posed by its 2009 acquisition of Merrill Lynch, effectively tricking Uncle Sam into coughing up $20 billion in bailout money.