The WaPo reports that an SEC Inspector General report shows that the SEC gave Bank of America lenient treatment when it fined BoA for its funny business surrounding the Merrill Lynch acquisition, but did not place limits on BoA’s ability to issue securities that would normally be placed on a firm that violates securities law. [...]

New York City District Attorney Robert Morgenthau lands a broadside Morgenthau on the Federal oversight and investigation of financial fraud. Morgenthau’s criticism has important implications in light of the recent travails on Wall Street, including powerful allegations currently lodged against Goldman Sachs.