{"id":1084,"date":"2012-06-28T16:38:20","date_gmt":"2012-06-28T16:38:20","guid":{"rendered":"https:\/\/www.stockbrokerfraudblog.com\/2012\/06\/securities_law_roundup_merrill"},"modified":"2022-03-09T16:20:21","modified_gmt":"2022-03-09T22:20:21","slug":"securities-law-roundup-merrill","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/securities-law-roundup-merrill\/","title":{"rendered":"Securities Law Roundup: Merrill Lynch Pays Customers $32M For Allegedly Overcharging Them with Unwarranted Fees, Brookstone Securities is Accused of $1.6M in Fraudulent CMO Sales to Elderly Retirees, and Planner Loses CFP Designation Following After Maine"},"content":{"rendered":"

\t\t\t\tThe Financial Industry Regulatory Authority says that it is fining Merrill Lynch, Pierce, Fenner & Smith, Inc. <\/a>$2.8M in the wake of certain alleged supervisory failures that the SRO says led to the financial firm billing clients unwarranted fees. The financial firm paid back the $32M in remediation to affected clients, in addition to interest. <\/p>\n

According to FINRA, from 4\/03 to 12\/11, Merrill Lynch lacked a satisfactory supervisory system<\/a> that could ensure that certain investment advisory program clients were billed per the terms of their disclosure documents and contract. As a result, close to 95,000 client account fees were charged. <\/p>\n

Also, due to programming mistakes, Merrill Lynch allegedly did not give certain clients timely trade confirmations. These errors caused them to not get confirmations for over 10.6 million trades in more than 230,000 customer accounts from 7\/06 to 11\/10. Additionally, FINRA contends that Merrill Lynch failed to properly identify when it played the role of principal or agent on account statements and trade confirmations involving at least 7.5 million mutual fund buy transactions. By settling, Merrill Lynch is not denying nor admitting to the charges. It is, however, agreeing to the entry of FINRA’s findings. <\/p>\n

Continue Reading \u203a<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"

The Financial Industry Regulatory Authority says that it is fining Merrill Lynch, Pierce, Fenner & Smith, Inc. $2.8M in the wake of certain alleged supervisory failures that the SRO says led to the financial firm billing clients unwarranted fees. The financial firm paid back the $32M in remediation to affected clients, in addition to interest. […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3862,3752,3739,3800,3741,3803],"tags":[],"class_list":["post-1084","post","type-post","status-publish","format-standard","hentry","category-collateralized-mortgage-obligations","category-financial-firms","category-finra","category-merrill-lynch","category-securities-fraud","category-senior-investors"],"yoast_head":"\nSecurities Law Roundup: Merrill Lynch Pays Customers $32M For Allegedly Overcharging Them with Unwarranted Fees, Brookstone Securities is Accused of $1.6M in Fraudulent CMO Sales to Elderly Retirees, and Planner Loses CFP Designation Following After Maine — Investor Lawyers Blog — June 28, 2012<\/title>\n<meta name=\"description\" content=\"The Financial Industry Regulatory Authority says that it is fining Merrill Lynch, Pierce, Fenner & 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