On December 8, 2011, the SEC announced that it "charged Wachovia Bank, N.A. with fraudulently engaging in secret arrangements with bidding agents to improperly win business from municipalities and guarantee itself profits in the reinvestment of municipal bond proceeds. The SEC alleges that Wachovia generated millions of dollars in illicit gains during an eight-year period when it fraudulently rigged at least 58 municipal bond reinvestment transactions in 25 states and Puerto Rico."

In the Complaint, the SEC stated: "This case involves various fraudulent bidding practices by Wachovia involving the temporary investment of proceeds from the sale of tax-exempt municipal securities in certain reinvestment instruments by state and local government entities in the United States ('Municipalities').... Wachovia's fraudulent practices and misrepresentations affected the prices of the reinvestment instruments, deprived the municipalities of a conclusive presumption that their reinvestment instruments were purchased at fair market value, and/or jeopardized the tax-exempt status of the underlying securities, thereby injuring numerous Municipalities. During an eight-year period, Wachovia rigged at least 58 transactions concerning the reinvestment of proceeds from the sale of over $9 billion of underlying municipal securities, generating millions of dollars in ill-gotten gains."

On December 8, 2011, Federal District Judge William J. Martini entered Final Judgment against Wachovia Bank, N.A. pursuant to the SEC and Wachovia Bank, N.A.'s consent.