Violation Tracker Individual Record

Company: 
Merrill Lynch, Pierce, Fenner & Smith Inc.
Current Parent Company: 
Bank of America
Penalty: 
$5,990,530
Year: 
2018
Date: 
December 20, 2018
Offense Group: 
financial offenses
Primary Offense: 
securities issuance or trading violation
Violation Description: 

FINRA fined Merrill Lynch, Pierce, Fenner & Smith Inc. for improperly selling shares in initial public offerings (IPOs) to industry insiders, including its employees' immediate family members and customers who were brokers at other brokerage firms. Merrill Lynch was required to pay a $5.5 million fine, and disgorge $490,530 it earned as revenue from the sales.

Level of Government: 
federal
Action Type: 
agency action
Agency: 
Financial Industry Regulatory Authority
Civil or Criminal Case: 
civil
HQ Country of Parent: 
USA
HQ State of Parent: 
North Carolina
Ownership Structure of Parent: 
publicly traded
Major Industry of Parent: 
financial services
Specific Industry of Parent: 
banking
Notes: 

FINRA is a securities industry self-regulatory body authorized by the federal government.

Source Notes: 
If an online information source is not working, check the Violation Tracker Data Sources page for an updated link.
Parent company note: 
Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.