Value Line, its CEO and former CCO settled civil charges with the Securities and Exchange Commission for $45 million for having improperly funneled mutual fund trades to its affiliated broker/dealer and pocketing $24 million in commissions.

“Value Line misappropriated millions of dollars from the mutual funds they managed by artificially allocating fund trades and then charging the funds for phantom brokerage services,” said Robert Khuzami, director of the SEC’s enforcement division. “Such blatant wrongdoing will not be tolerated.”

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