Lawmaker Slams Bank of America on Bailout Exit

Bank of America Chief Executive Kenneth D. Lewis said his company was still in talks with federal officials on how to compensate the government for a prior loss-sharing agreement, according to a letter released by a lawmaker on Thursday.

Mr. Lewis called the government talks “thoughtful and professional” and said Bank of America was confident it would resolve the issue, in the letter to Representative Edolphus Towns, chairman of the Committee on Oversight and Government Reform, Reuters reported.

Mr. Towns, however, called on Mr. Lewis to repay the taxpayers and stop “stonewalling.”

Bank of America has been negotiating how much it must pay for an agreement — part of a $20 billion bailout for the firm — in which the government said it would share losses on $118 billion of toxic assets.

“It seems that the bank wants to have it both ways — all the benefits of government insurance without having to pay a dime for all of its benefits,” Mr. Towns said in statement.

Mr. Towns’ committee is examining the role of the government in Bank of America’s acquisition of Merrill Lynch.