Morgan Stanley Agrees to Pay $249 Million to Settle Block-Trading Probes

Morgan Stanley agreed Friday to pay $249 million to settle felony and regulatory investigations into allegations that some workers improperly shared details about purchasers’ inventory gross sales, the Manhattan U.S. lawyer’s workplace mentioned.

The decision ends a long-running probe into how the financial institution bought massive blocks of inventory for institutional traders. Morgan Stanley obtained a nonprosecution settlement, a type of leniency meaning it received’t face felony fees so long as it cooperates with ongoing requests from prosecutors for 3 years and doesn’t violate its settlement settlement.