It is the largest fine the NASD has ever issued.
According to a report from the Financial News Online, ING accepted the penalty without admitting or denying wrongdoing and agreed to take measures to prevent future abuse. The NASD became concerned when it found written agreements that allowed customers to market time funds.
William Sessions, the ING sales representative who allowed for the malfeasance to occur, was fined $25,000 and suspended for 30 days.
This is the second time in just a few months that the firm has had to deal with regulators. ING recently settled allegations with the Securities and Exchange Commission for reselling $202 million worth of company securities without registering them first.