FINRA Fines Merrill $2.8M For Overcharging Customers $32M

Law360, New York (June 21, 2012, 2:30 PM EDT) -- The Financial Industry Regulation Authority hit Merrill Lynch Pierce Fenner & Smith Inc. with a $2.8 million fine over failures of supervision that resulted in overcharging investment advisory customers $32 million, FINRA announced Thursday.

Over an eight-year period from April 2003 to December 2011, Merrill did not have an adequate supervisory system in place to ensure that certain investment advisory customers were being billed in accordance with contracts and disclosure documents, the regulator said.

As a result, the firm overcharged almost 95,000 customers unwarranted fees totaling...
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