- Chief Compliance Officer and VP of Legal Affairs, Arrow Electronics
By 
Aaron Nicodemus2023-08-25T16:19:00
The Securities and Exchange Commission (SEC) fined Wells Fargo $35 million for overcharging nearly 11,000 investment advisory accounts over two decades.
Without admitting or denying the SEC’s charges, Wells Fargo Clearing Services and Wells Fargo Advisors Financial Network agreed to pay the penalty. The company previously paid accountholders approximately $40 million, including interest, to reimburse them for the overcharging, the SEC said in a press release Friday.
From at least 2002 through 2022, Wells Fargo and its predecessor firms overcharged approximately 10,945 investment advisory accounts by $26.8 million, the SEC said.
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Wells Fargo disclosed it is under investigation by the Securities and Exchange Commission regarding cash sweep options it provides to new investment advisory clients.
Mortgage Industry Advisory Corp. agreed to pay $100,000 to settle allegations levied by the Securities and Exchange Commission it failed to adopt and implement written compliance policies and procedures, conduct annual reviews, and establish and enforce a code of ethics.
Prime Group Holdings agreed to pay $20.6 million as part of a settlement with the Securities and Exchange Commission resolving allegations it failed to adequately disclose it paid millions of dollars in fees to a real estate brokerage firm owned by its CEO.
Capital One promised very high interest rates on millions of savings accounts but the bank didn’t deliver, losing customers more than $2 billion, the Consumer Financial Protection Bureau alleged.
Robinhood, a disruptive force in the market for Main Street investors but also a serial offender of securities laws, will pay a total of $45 million to settle numerous violations of SEC rules and regulations by two of its broker-dealers.
A broker-dealer subsidiary of Toronto-based BMO Financial Group will pay nearly $41 million in penalties to the Securities and Exchange Commission to settle allegations that its traders issued misleading disclosures on bonds for three years, causing $19 million in harm to its customers.
