The state of Illinois has suspended doing all business with Bank of America until they restore the line of credit to Chicago-based Republic Windows & Doors necessary for paying their workers.
Illinois Governor Rod Blagojevich says that Bank of America received a big bailout from the government on the condition that it be used to open up the credit pipelines again but so far has decided to hoard it and keep credit tight instead. He said:
On the one hand, powerful special interest get the money to bail them out, the banks, and yet the purpose of that money was supposed to be to provide a line of credit to businesses like this to keep workers working and keep people employed, and yet the Bank of America has yet to step up and say they’re going to be helpful to this company…
BoA responded that it’s “not responsible for Republic’s financial obligations to its employees.” BoA officials are supposed to meet this afternoon with Republic executives and union leaders.
Illinois Governor Suspends Business With Bank Of America [Huffington Post] (Thanks to Abe!)