Bonds

Merrill To Reimburse City for ‘Unauthorized’ CDO Purchase 

Bloomberg reported Friday that Merrill Lynch agreed to pay Springfield, Mass. $13.9 million to settle a dispute over mortgage-related CDOs it sold the city. Merrill said it agreed to refund the city’s money after finding that the original purchase was made without the city’s consent. From Bloomberg: Springfield bought its CDOs between April and June of last year from Merrill, according to city records. The value of those securities fell to $1.3 million in November …