Violation Tracker Individual Record

Company: 
Western Asset Management Company
Current Parent Company: 
Franklin Resources
Penalty: 
$21,000,000
Year: 
2014
Date: 
January 27, 2014
Offense Group: 
employment-related offenses
Primary Offense: 
benefit plan administrator violation
Violation Description: 

The U.S. Department of Labor announced a settlement with Western Asset Management Company, a subsidiary of Legg Mason Inc., following investigations revealing the purchase of prohibited securities that resulted in losses to the accounts of nearly 100 employee benefit plans and investment funds holding plan assets. The settlement also resolved findings that the company engaged in prohibited cross-trading of securities in the accounts of other retirement plans and funds, which caused additional losses.

Level of Government: 
federal
Action Type: 
agency action
Agency: 
Employee Benefits Security Administration
Civil or Criminal Case: 
civil
HQ Country of Parent: 
USA
HQ State of Parent: 
California
Ownership Structure of Parent: 
publicly traded
Major Industry of Parent: 
financial services
Specific Industry of Parent: 
financial services
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.