The latest regulatory, disciplinary and criminal actions.
International client says he did not get a fair hearing because a public arbitrator was reclassified as “non-public” midway through the case.
The Massachusetts Secretary of the Commonwealth said its securities division sent a letter on Feb. 27 to Boston-based Fidelity requesting information about those fees. The inquiry follows a Feb. 21 lawsuit against Fidelity by an investor in T-Mobile USA Inc.’s 401(k) plan that claims the firm conceals so-called infrastructure fees.
New York firm seeks to pay $3.5 million to clients who bought share classes that paid 12b-1 fees when less expensive classes were available.
Prosecutors sought longer sentence for broker who excessively traded in commission accounts, but in separate case this week a former UBS broker in Michigan got nine years for embezzlement.
Continuing its pursuit of firms failing to offer eligible customers sales charge waivers, regulator orders independent brokerage to return $1.9 million to customers and pay $225,000 fine.
To circumvent household limits on Class B shares, a former broker in Chicago entered fictitious sell orders into firm’s electronic order system, regulator says.
Court approves SEC settlement stemming from $1.2 billion fraud involving more than 8,000 retail investors nationwide.
Muni bond firm Hennion & Walsh allowed brokers to recommend unsuitable switches among proprietary unit investment trusts that cost customers more than $300,000 of unnecessary sales charges, according to a consent letter.
CFD Investments, which promotes its “christian culture,” agrees to pay $125,000 for failing to supervise sales of products comprising 41% of its revenue.
Arbitration panel orders Ohio broker and Prospera Financial to pay Jones almost $25,000 for allegedly soliciting more than 1,000 Jones clients after his 16-year career with firm.
Morgan Stanley responds that they have exhausted their attempts to prove racial bias in account distribution, teaming and other areas.