Defendant Name:
Banc of America Investment Services, Inc
Defendant Type:
Subsidiary of Public Company
Public Company Parent:
Bank of America Corporation
SIC Code:
6021
CUSIP:
06050510
Document Reference:
33-8913
Document Details
Legal Case Name
In the Matter of Banc of America Investment Services, Inc. and Columbia Management Advisors, LLC, as successor in interest to Banc of America Capital Management, LLC
Document Name
Order Instituting Proceedings Pursuant to Section 8A of the Securities Act of 1933, Sections 15(b)(4) and 21C of the Securities Exchange Act of 1934, Section 9(b) of the Investment Company Act of 1940 and Sections 203(e) and 203(k) of the Investment Advisers Act of 1940, and Making Findings and Imposing Cease-and Desist Orders, Penalties, and Other Relief
Document Date
01-May-2008
Document Format
Administrative Proceeding
Allegation Type
Investment Advisers/Investment Companies
Document Summary
On May 1, 2008, the SEC instituted settled proceedings against Banc of America Investment Services, Inc., and Columbia Management Advisors, LLC, as successor in interest to Banc of America Capital Management, LLC, stating: "This matter involves material misrepresentations and omissions by Banc of America Investment Services to its clients for whom it maintained discretionary mutual fund wrap fee accounts between July 2002 and December 2004 (the "relevant period"). Banc of America Investment Services selected at least two affiliated funds (Nations Funds), using a methodology that was contrary to prior statements to clients, for inclusion within Banc of America Investment Services' wrap fee accounts. Banc of America Investment Services' affiliate, Banc of America Capital Management, earned additional fees as a result because its management fees were based on Nations Funds' asset size."
Disgorgement & Penalty Information
Resolutions
Cease and Desist Order
Censured
Other Compliance Related Undertaking
Fair Funds
Monetary Penalties:
Disgorgement
Individual:
$3,310,206.00
Shared:
Civil Penalty
Individual:
$2,000,000.00
Shared:
Pre-Judgment Interest
Individual:
$793,773.00
Shared:
Other Defendants in Action:
