The NASD announced Monday it has fined Janney Montgomery Scott $1.2 million for permitting improper market timing and related violations. In addition, the NASD ordered the Janney to pay nearly $1 million in restitution to the affected mutual funds.

The NASD has also suspended Kenneth Rosato, Janney's former Brooklyn branch manager who permitted the misconduct, for one year and fined him $370,000, which includes the $185,000 in commissions he reaped through the prohibited activity.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.