A subsidiary of Newark-based Prudential will pay $100,000 in penalties for violating financial regulations, state Attorney General Jeffrey Chiesa announced Thursday.
Pruco, a financial adviser and broker-dealer, admitted it mispriced orders and did not adequately supervise personnel. The violations came to light when the company itself reported them to authorities, Chiesa’s office said. Pruco also created new internal procedures designed to prevent future violations.
Pruco also agreed to make restitution to as many as 253 investors in amounts ranging up to $125,000 each. The company has already paid out nearly $600,000 to 1,508 accounts held by New Jersey investors.
Authorities took into account the company’s cooperation and efforts to correct problems when coming up with a settlement.
“The bottom line is that investors will not sustain any losses resulting from the violations that occurred. This settlement reflects our commitment to protect investors and their hard-earned monies through robust regulation of New Jersey’s securities industry,” Chiesa said.
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