Court Declines to Revive Investor Suit

The U.S. Supreme Court refused to revive a class-action investor lawsuit that accused Bank of America Corp. of hiding losses that led to a $372-million write-off.

Bank of America agreed in February to a $490-million settlement. That accord is awaiting approval from a federal judge. The Supreme Court appeal came from a law firm that sought to open a new front by pressing a separate shareholders’ suit in California state court.

The fight centers on a $1.4-billion payment that BankAmerica Corp., a corporate predecessor of the current company, described as a loan to New York hedge fund D.E. Shaw & Co.

The issue for the Supreme Court was whether a federal trial judge in St. Louis was right to order a halt to the California proceeding.