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Morgan Stanley agrees to pay $6.5m fine in agreement with AGs over compromised customer information

Company accused of auctioning devices with consumers’ personal information

Servers potentially containing unencrypted data allegedly went missing
Servers potentially containing unencrypted data allegedly went missing Photo: Victor J. Blue/Getty Images

Morgan Stanley agreed to pay a fine of $6.5m following an agreement with a coalition of attorneys general over the financial services provider compromising millions of customers’ personal information.

Morgan Stanley, doing business as Morgan Stanley Smith Barney LLC, failed to decommission its computers and erase unencrypted data in certain computer devices that were later auctioned while still containing consumers’ personal information, according to New York Attorney General Letitia James.

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