The NASD last week fined eight broker/dealers, including one fund distributor, $7.75 million for giving preferential sales treatment to mutual funds in exchange for lucrative trading commissions from directed-brokerage agreements.

These are the latest actions resulting from an ongoing NASD enforcement sweep into violations of its anti-reciprocal rule that began with the regulator's broad inspection of the mutual fund industry 18 months ago, said James Shorris, senior vice president and deputy director of enforcement at the NASD.

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