One day after Bank of America and 4 bank rivals agreed to a $25bn settlement over alleged foreclosure abuses, BofA was hit with a subpoena from Massachusetts securities regulators who seek to determine whether the lender had knowingly overvalued assets in some investment products. The state is asking BofA to provide documents relating to its activities involving collateralized loan obligations.  CLOs in question include LCM VII Ltd and Bryn Mawr CLO II Ltd, which the bank structured and sold to investors in 2007.  According to William Galvin, the state's top securities regulator, local investors lost about $150 million in investment vehicles structured by the company's affiliate broker-dealer unit, Banc of America Securities LLC. Galvin, who has been especially aggressive in looking into how big banks hurt small investors during the housing crisis and financial crisis, said he wanted to find out whether the issuer "was knowingly overvaluing assets in the portfolio to get them off their books and onto investors."   [Reuters, 2/10/12].