Jefferies & Co. and two of its executives settled with the Securities and Exchange Commission last Monday over providing mutual fund traders at Fidelity Investments with $2 million worth of illegal gifts and entertainment to secure their trading business.

The firm, its director of equities, Scott Jones, and Kevin Quinn, a former senior vice president and equity sales trader, agreed to the settlement proceedings. Quinn agreed to pay $1 in disgorgement and a civil penalty of $468,000, Jones is paying $50,000, and Jefferies is paying $4.2 million in disgorgement to the SEC and $5.5 million to the NASD.

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