WASHINGTON -- NationsBank may have violated the federal "anti-tying" law earlier this year by telling an Arkansas company that the bank would supply a letter of credit for an industrial revenue bond issue only if the issuer chose the bank as underwriter.

"Our proposal for a letter of credit for enhancement purposes on your ... bonds must encompass the placement business for the marketing of these bonds," J.W. Davis, senior vice president of the bank, wrote John L. Anthony, vice president of Anthony Forest Products of E1 Dorado, Ark., a family business that is partly owned by former U.S. Rep. Beryl Anthony, D-Ark.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.