Violation Tracker Individual Record

Company: 
Charles Schwab & Co., Inc. et al.
Current Parent Company: 
Charles Schwab Corp.
Penalty: 
$8,567,364
Year: 
2011
Date: 
January 11, 2011
Offense Group: 
financial offenses
Primary Offense: 
investor protection violation
Violation Description: 

Charles Schwab & Co., Inc. and Charles Schwab Investment Management, Inc. agreed to pay $700,000 to the Investor Eduction Fund and provide $7,867,364 in restitution to investors in settlement of allegations they improperly marketing their YieldPlus Fund by misrepresenting the risk and suitability, and violated the fund's policy by concentrating investments in mortgage-backed securities.

Level of Government: 
state
Action Type: 
agency action
Agency: 
Illinois Secretary of State-Securities
Civil or Criminal Case: 
civil
Facility State: 
Illinois
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.