News Story (District of Columbia, NATIONAL)
August 27, 2014
Link to story
Tags: Funding: Federal, Funding: IOLTA
Organizations mentioned/involved: DC Bar Foundation (DCBF)
The settlement — which resolved claims that the bank and its subsidiaries sold billions of dollars of mortgage-backed securities without fully disclosing to investors the quality of the loans — requires Bank of America to allocate $7 billion to consumer relief efforts. Of that portion, at least $30 million will go to the Interest on Lawyers Trust Accounts program, known as IOLTA.
The program, which is run independently in all 50 states, D.C. and the U.S. Virgin Islands, pools interest generated from client funds being held by lawyers in each state, and distributes the proceeds to civil legal services providers in that state.