KlaymanToskesMerrill Lynch Fined $1.5 Million for Charging Unnecessary Fees to Over 1,300 Customers
Summary
Contact The Law Firm of KlaymanToskes Immediately National investment loss lawyers KlaymanToskes reports the Financial Industry Regulatory Authority (“FINRA”) has censured Merrill Lynch and ordered the brokerage firm to pay nearly $1.49 million, plus interest, in restitution to 1,361 customers who were charged unnecessary and avoidable fees by their financial advisors. FINRA found that Merrill Lynch lacked adequate supervisory systems to detect these inappropriate transfers and ensure that brokers’ recommendations were in the best interest of their clients. This failure violated the Securities and Exchange Commission’s Regulation Best Interest and FINRA’s Rules 3110 and 2010, which require firms to maintain high standards and reasonable supervisory systems. Further, potential conflicts of interest may arise when issuers incentivize brokers/investment advisors with substantial commissions to promote their financial products. If you have been charged unnecessary fees by Merrill Lynch, or have suffered losses due to unsuitable investment recommendations, contact KlaymanToskes at (888) 997-9956 or investigations@klaymantoskes.com for a free and confidential consultation.