The state is receiving a $400,000 settlement from Merrill Lynch over claims the brokerage allowed some of its associates to sell securities without being properly registered.
Maine’s Office of Securities issued a press release Wednesday that stated a national investigation beginning in 2008 showed Merrill Lynch failed to adequately supervise its client associates, who act as sales assistants and administrative support personnel for Merrill Lynch’s financial advisers. The investigation found that Merrill Lynch’s supervisory system was not reasonably designed to ensure that its client associates complied with registration requirements, according to the state agency.
State securities regulators say Merrill Lynch has implemented new supervisory controls over the registration of client associates to better protect Maine consumers. Nationally, Merrill Lynch is paying out $26.5 million in settlements.
