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In stepping down before year end, Bank of America CEO Ken Lewis’s eight-year tenure ends in controversy amidst federal investigations into the bank’s takeover of Merrill Lynch & Co. He also leaves behind a $2.3 tn balance sheet racked with problems. But although Lewis also leaves behind a strong legacy as an empire builder, engaging in merger after merger to increase the bank’s massive ... read more

When Humana, one of the biggest private insurers offering richer Medicare plans to the elderly, sent out a letter warning senior citizens that a government revamp of health insurance could eliminate their benefits, the government told the insurer to keep its mouth shut—or face an enforcement action. That set off an explosive fight in Congress with charges the White House is effectively ... read more

Meredith Whitney, Wall Street's top bank analyst, weighs in this morning with a warning shot at the bullish mania taking hold on Wall Street. Her message: Keep your powder dry and your wits about you. We may be in for a downturn because consumers and small businesses are suffering from a lack of credit. "We continue to worry about the 'unintended consequences' of restrained liquidity to the ... read more

Citigroup chief executive Vikram Pandit, racing to rightsize the troubled bank, gave fresh details about Citi’s opaque balance sheet at an investor conference at Barclays' Capital Global Financial Services Conference. The presentation came amidst news that Citi may be moving to try to pay back the $45 bn in TARP funds it received. Pandit says the “goal is to repay” the US government ... read more

On this same day a year ago, Rep. Barney Frank, the Democratic congressman from Massachusetts, jokingly proposed declaring Monday, September 15th, 2008 to be Free Market Day. It was that Monday that the government let Lehman Bros. collapse into bankruptcy. Beginning on Sept. 16 and thereafter, the US government turned the US banking sector into essentially a state-protected industry. ”The ... read more