Bank of America Corp. said it will pay $100 million to settle a 2004 lawsuit which sought $10 billion after the 2003 bankruptcy of Parmalat SpA.
The Italian dairy company was plunged into chaos after an accounting fraud came to light. B of A was later sued by Parmalat's new management for allegedly helping former officials engage in one of Europe's biggest-ever corporate frauds.
Further details of the settlement will be disclosed after it is filed in federal court in New York, where the case was handled.
A decade-long fraud, allegedly by top managers, left Parmalat saddled with $19.94 billion of debt. A Milan judge in December acquitted seven defendants, including former B of A employees and auditors who worked with Parmalat, of charges related to the collapse.