Morgan Stanley Fined $7.5 Million by SEC for Trade Confirmation Violations

The Securities and Exchange Commission has filed Morgan Stanley $7.5 million to settle charges that it provided insufficient written trade confirmations to its customers for municipal securities and bonds.

Morgan Stanley Dean Witter, Inc, a subsidiary of Morgan Stanley, furnished customers with trade confirmations that had missing or incorrect information relating to yield, call dates and/or prices and other features of the bonds, the SEC said.

This sanction by the SEC against Morgan Stanley Dean Witter comes on the heals of $10.4 million in fines against 14 other broker-dealer firms by the New York Stock Exchange over similar charges. Morgan Stanley agreed to pay the settlement without admitting or denying the commission’s findings in its investigation.

Shepherd Smith and Edwards represents investors nationwide in claims against securities firms. We have represented investors in more than 1,000 securities cases, including dozens against Morgan Stanley Dean Witter. To learn whether we may be able to assist you with a claim contact us to arrange a free consultation with one of our attorneys.

Morgan Stanley to pay $7.5 mil., Reuters, October 10, 2007