The Financial Industry Regulatory Authority has hit Wells Fargo Advisors with $1 million in fines for delayed delivery of prospectuses to its mutual fund customers and required regulatory disclosure information about its representatives.

FINRA alleges that about 934,000 Wells Fargo mutual fund customers did not receive prospectuses within three business days of a transaction in 2009 in accordance with federal law. Those customers received the prospectuses from one to 153 days late, FINRA said. Wells Fargo failed to properly address the problem after its third-party service provider it had contracted with for the  prospectus delivery alerted the firm to the problem, FINRA said. FINRA did not name that third-party service provider, which Wells Fargo had contracted with in 2009.

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