The SEC sanctioned a Los Angeles investment firm for violating the Patriot Act by failing to follow rules for confirming the identities of new customers. The action against Crowell, Weedon & Co. is the first time the SEC has cited a company for violating the antiterrorism rules imposed after the Sept. 11 terrorist attacks.
Federal investigators have expanded their probe into how companies award stock options to senior executives. Four more firms said Monday that they had been subpoenaed, bringing to 15 the number of companies approached by the Department of Justice, the Securities and Exchange Commission or both.
In the hours before shareholders are set to vote on competing merger proposals, Euronext sided with a bid by the New York Stock Exchange and called a rival offer from Deutsche Borse AG "misleading." Combing the NYSE with Euronext, which operates the Paris, Amsterdam, Brussels and Lisbon stock markets, would create a cross-Atlantic powerhouse with tremendous influence in the world's equity markets.
Fidelity Investments said it made an error when reporting its stock holdings for the first quarter. The mutual fund company said 16% of its 3,074 holdings were involved, but that earnings and net asset value were not affected.
Citigroup will pay $98 million to settle overtime claims by 20,000 present and past advisers -- the largest such agreement reached in the industrywide dispute. Wall Street has long argued that advisers are exempt from the overtime protection rules of the Fair Labor Standards Act, but financial institutions such as UBS, Morgan Stanley and Merrill Lynch have settled the lawsuits rather than face off with workers in court.