Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Breakpoints Catch Attention of Lawmakers Not Rated 3.0 Email Routing List Email & Route  Print Print
Wednesday, January 08, 2003

Breakpoints Catch Attention of Lawmakers

by: Sean Hanna, Editor in Chief

Last summer's probe by the NASD and the SEC into whether brokerage firms are fully recognizing breakpoints has now caught the attention of Washington lawmakers. Two Republican Congressmen -- Rep. Michael Oxley (R-Ohio) and Rep. Richard Baker (R-Louisiana) -- penned a letter to SEC chairman Harvey Pitt and NASD chairman Robert Glauber yesterday.

Oxley is the chairman of the House Financial Services Committee. The letter, which is on the committee stationary, urged that "swift and severe penalties" and full restitution be paid to fund investors by any brokerages that have committed misconduct with regard to recognizing mutual fund breakpoints. The Congressmen said that "rooting out this type of wrongdoing is essential to restoring public faith in the integrity of the markets."

The Congressman also called for the NASD and SEC to report to Congress on their findings. Among the information sought by the committee is: a) how many brokerages have engaged in this misconduct; b)how many investors have been overcharged, and to what extent; c) to what extent this problem reflects willful misconduct, or is the result of inadequate systems design and/or oversight; and d) whether the current regulatory regime is adequate to protect investors.

The committee is seeking an answer to these questions in the next 30 days, according to the letter.

The full text of the letter is available in .pdf format on the House Financial Services Committee Web site ( follow this link).  

Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE

3.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2019: Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Raw XML
Add to My Yahoo!
follow us in feedly




©All rights reserved to InvestmentWires, Inc. 1997-2019
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use