SEC Fines UBS $3.5M for Overcharging Retirees and Charities

Posted on November 8th, 2017 at 1:54 PM
SEC Fines UBS $3.5M for Overcharging Retirees and Charities

From the Desk of Jim Eccleston at Eccleston Law LLC:

The SEC has fined UBS Financial Services Inc. $3.5 million, settling claims that it overcharged retirees and charities for mutual funds. UBS neither admitted nor denied the findings that it violated several securities laws.

More specifically, according to the SEC, from at least January 2010 through June 2015, UBS neglected to inform its customers that they were eligible for less expensive mutual funds and did not disclose that the customers’ purchases of the more expensive share classes would negatively impact the overall return on the customers’ investment. Approximately 15,000 customers were overcharged, paying more than $18.5 million than they needed to.

In addition to the fine of $3.5 million, UBS agreed to attempt to find the 970 customers who either did not cash or deposit their payments or who have changed their addresses.

The attorneys of Eccleston Law LLC represent investors and advisors nationwide in securities and employment matters. The securities lawyers at Eccleston Law also practice a variety of other areas of practice for financial advisors including Broker Litigation & ArbitrationStrategic Consulting ServicesRegulatory  MattersTransition Contract Review, and much more. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today.

Related Attorneys: James J. Eccleston

Tags: Eccleston Law, Eccleston, James Eccleston, Eccleston Law LLC

Return to Archive



If you are being bothered by the Regulators, call Eccleston Law, you won't regret it.

Rick R.


August 8, 2022
SEC Files Suit Against Georgia Advisor Over Misappropriation of Client Funds

The Securities and Exchange Commission (SEC) is filing suit against a Georgia-based advisor, Christopher Burns, who allegedly misappropriated client funds.

August 5, 2022
SEC Fines RIA $5.8 Million Over 12b-1 Fee Infractions Tied to Wrap Accounts

The Securities and Exchange Commission (SEC) has imposed a $5.8 million fine against Private Advisor Group over 12b-1 fee violations tied to its wrap fee program. 

August 4, 2022
North Dakota Regulators Seek to Close Down Advisory Firm Selling Crypto and Weed Products

The North Dakota Securities Commissioner’s office is seeking to shut down a small West Fargo-based registered investment adviser (RIA) after its owner allegedly violated state securities laws and improperly took custody of $17.8 million in client funds beginning in 2017.