Morningstar has again made headlines, this time due to a subpoena issued by the Labor Department scrutinizing the company's consulting unit. This is the third investigation into Morningstar Associates, which provides investment advice to 401(k) plans, and is related to investigations mounted by New York Attorney General Eliot Spitzer and the Securities and Exchange Commission, the Associated Press reports.
Morningstar disclosed the subpoena and states that it is fully cooperating with all three agencies. First news of investigations erupted in December 2004, when Spitzer's office subpoenaed Morningstar and found out about the SEC investigation; both focus on possible conflicts of interest in the 401(k) business. However, specifics of those investigations have not come out and Morningstar has not elaborated.