NY reportedly probing equity firms, including Bain

ALBANY, N.Y. - An official familiar with the probe says New York's attorney general is investigating some of the nation's largest private equity firms, including Bain Capital, founded by Republican presidential nominee Mitt Romney.<br /> <br /> The official spoke on the condition of anonymity because of the sensitivity of the probe. It is examining whether the firms used a tax strategy to avoid paying hundreds of millions of dollars in taxes. The practice involved converting some fees collected for managing accounts into fund investments, resulting in a lower tax rate.<br /> <br /> The New York Times first reported the investigation of more than a dozen firms. Tax experts tell the Times they have differing views about the strategy's legality.<br /> <br /> Though Romney collects benefits as a Bain retired partner, the inquiry isn't focused on the time he ran Bain.

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