Several Janus employees who felt that their market-timing practices did not have an adverse effect on investors have left the firm, according to company officials. The company did not disclose the identity of those individuals or the titles they held.

The admission comes on the heels of the company firing several fund managers for market timing, and in front of a pending settlement with the office of New York Attorney General Eliot Spitzer as well as that of the Securities and Exchange Commission. On Monday, Richard Garland, chief executive of Janus International, submitted his resignation after enduring more than two months of intense criticism for allowing Canary Capital Partners, a New Jersey hedge fund, to market time its funds.

In a filing with the Securities and Exchange Commission, the Denver-based fund company said it would adopt more stringent policies on market timing in order to eliminate the appearance of impropriety. The company also announced it has hired former SEC Director of Investment Management Marianne Smythe, now a partner at the law firm Wilmer Cutler & Pickering, to evaluate its business practices and ensure compliance with securities laws.

And beginning at the end of 2003, Janus will begin disclosing its portfolio holdings on a monthly basis in an effort to keep shareholders more informed about what securities they own, the company said.

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