A $ 1.3bn penalty against Bank of America has been discounted after the Second Circuit of the US Court of Appeals found the bank can not be held liable for the alleged intentional breach of trust . Bank of America was part of a fraudulent Depression - era mortgage program ; however , the judges found the government did not present sufficient evidence proving the intent of the bank to defraud buyers of the mortgage packages .
A $1.3bn penalty against Bank of America has been discounted after the Second Circuit of the US Court of Appeals found the bank cannot be held liable for the suspected intentional breach of contract. Bank of America was accused of a fraudulent crisis-era mortgage program; however, the judges noted the government did not present sufficient evidence proving the intent of the bank to defraud buyers of the mortgage packages.