SEC Drops Nice-Guy Routine With $10M Nasdaq Sanction

Law360, New York (May 29, 2013, 7:55 PM EDT) -- A record-setting $10 million fine Wednesday against Nasdaq over the botched Facebook Inc. initial public offering signals the U.S. Securities and Exchange Commission’s light regulatory touch with stock exchanges may be coming to an end, experts say.

The $10 million penalty marked the SEC’s largest-ever fine against an exchange. An administrative order accused two subsidiaries of Nasdaq OMX Group Inc. of failing to sufficiently address problems in the firm's system for matching buy and sell orders, leading to large trading disruptions on the day of the...
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