Mercury Restates Profits Again; Bank of Boston Reevaluating Deal

Beleaguered Mercury Finance Co. Wednesday again restated earnings, saying that a senior executive made "unauthorized accounting entries" that overstated Mercury's earnings by $90 million over five years.

James A. Doyle, the comptroller who allegedly made the unauthorized entries, hasn't been seen since Tuesday night, and was "relieved of his duties" Wednesday morning, the company said.

Bank of Boston Corp. said it will "carefully evaluate" its recent agreement to sell to Mercury its auto finance unit for 16% of Mercury's stock, in a deal that had been expected to close March 31.

Mercury, the Lake Forest, Ill. auto lender, which last year had to restate 1995 earnings, said it earned $56.7 million, or 33 cents a share for 1996- half the amount originally reported. The latest restatement reduced shareholders equity to $263 million from $353 million.