Hank Paulson is set to testify on his role in the BofA/Merill Lynch deal tomorrow. The issue remains sensitive as the Fed is poised to become the systemic risk regulator under plans now working their way through Congress. The charge is that the Fed and Treasury overstepped their bounds in forcing BofA to close the Merrill Lynch deal even though Merrill had sustained billions in additional losses since the deal was struck.
The Journal has Paulson’s prepared testimony.
