Merrill Units Must Pay $8M Over Stock Seizure: FINRA

Law360, New York (July 27, 2011, 3:38 PM EDT) -- A Financial Industry Regulatory Authority dispute resolution panel last week ordered three Merrill Lynch & Co. Inc. units to pay Staton Family Investments Ltd. $8.1 million over the seizure of nearly 1.3 million shares of stock from the company's accounts.

The case began in December 2008, when Staton Family Investments and Daniel Staton filed a claim accusing Merrill Lynch Pierce Fenner & Smith Inc., Merrill Lynch Bank USA and Merrill Lynch Bank & Trust Co. FSB of breach of fiduciary duty, securities and common law fraud,...
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