WASHINGTON (AP) -- Federal prosecutors say a former Bank of America executive has pleaded guilty for his role in a conspiracy related to bidding for contracts for the investment of municipal bond proceeds and other municipal finance contracts.
The U.S. Justice Department announced that Phillip D. Murphy, the former managing director of Bank of America's municipal derivatives products desk from 1998 to 2002, pleaded guilty Monday in federal court.
Murphy pleaded guilty to conspiring with others to make false entries in reports and statements which went to bank management.
Prosecutors said Murphy submitted intentionally losing bids for certain investment agreements and other contracts when requested, and, occasionally agreed to pay or arranged for kickbacks to be paid to co-conspirators.
Murphy faces at least 50 years in prison and fines up to $1.5 million.