By Rick Rothacker
rrothacker@charlotteobserver.com

In the latest twist in a long-running case, a U.S. administrative law judge has recommended a ruling that Bank of America Corp. discriminated against African-American job applicants for entry-level positions in Charlotte in 1993 and from 2002 to 2005.

The next step is for Administrative Law Judge Linda Chapman to hold a hearing and then recommend a remedy. No hearing date has been set.

Bank of America spokeswoman Shirley Norton said the bank disagrees with the decision and plans to file exceptions to the decision.

"Bank of America has a strong track record of hiring and developing associates and has been recognized for success in creating and supporting a diverse and inclusive workforce," Norton said. "We do not tolerate discrimination."

Administrative law judges hold hearings and rule on disputes involving agencies in the executive branch of the U.S. government.

The Bank of America case began in 1993 when the U.S. Department of Labor's Office of Federal Contract Compliance Programs, which checks federal contractors for discrimination, requested information from then-NationsBank for a compliance review. In 1995, the OFCCP told the bank that it had found discrimination, and the bank challenged the agency's ability to conduct the review in federal court. It cited the Fourth Amendment, which protects against "unreasonable searches and seizures."

The court challenge failed, landing the dispute back in the administrative forum.

In the latest ruling. Chapman found that the bank intentionally discriminated against African-American clerical, administrative and teller applicants in Charlotte.

The judge also held that the bank's failure to retain records as required by law did not lessen statistical disparities found by the agency's expert.

After the judge issues a recommendation on a remedy, the case will go to the Labor Department's administrative review board for a final agency decision.

"The Labor Department is committed to ensuring that all workers - including African Americans - are treated fairly by federal contractors in decisions concerning hiring, promotion and compensation," said OFCCP Director Patricia Shiu. "Further, contractors cannot use litigation as a means to obstruct OFCCP's ability to conduct its authorized investigations and pursue relief for victims of discrimination."

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