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Violation Tracker Individual Record

Company: Waddell & Reed, Inc.
Current Parent Company: Macquarie
Parent at the Time of the Penalty Announcement:  subscribe to see this data field
Recap of Ownership Changes:  subscribe to see this data field
Penalty: $75,000,000
Year: 2006
Date: July 24, 2006
Offense Group: financial offenses
Primary Offense: investor protection violation
Secondary Offense: securities issuance or trading violation
Mega-Scandal: Market Timing Abuses
Violation Description: The New York Attorney General announced a $75 million settlement -- $50 million in restitution and $25 million in fee reductions -- with Waddell & Reed to resolve allegations of unlawful trading of mutual funds through market timing. The $50 million portion of the settlement was negotiated together with the SEC, which issued its own announcement; see the Violation Tracker entry at (click here)
Level of Government: state
Action Type: agency action
Agency: New York Attorney General
Civil or Criminal Case: civil
Facility State: New York
HQ Country of Current Parent: Australia
Ownership Structure of Current Parent: publicly traded
Major Industry of Current Parent: financial services
Specific Industry of Current Parent: financial services
Source of Data: (click here)
Source Notes: If an online information source is not working, check the Violation Tracker Data Sources page for an updated link.
Current parent company note: Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.