NEWARK -- The National Association of Securities Dealers issued a $2 million fine against the former brokerage unit of Prudential Financial Inc., charging that several hundred annuity sales violated NASD and New York State Insurance Department rules.
The NASD also ordered the firm to pay affected customers of Prudential Securities $9.5 million.
Prudential has agreed to the sanctions, and does not admit or deny the charges, the NASD said.
The Newark firm has paid $8 million of the $9.5 million, spokesman Robert DeFillippo said. "Prudential discovered this matter and promptly notified the proper regulators. And we have been cooperating with the regulators," he said.