Vanguard Marketing Corporation (VMC) has agreed to pay a fine of $950,000 as a part of a settlement with the Financial Industry Regulatory Authority (FINRA).

Investors rely on the accuracy of account statements and trade confirmations when making financial decisions and on the accuracy of Forms 1099 when calculating taxes owed.

From approximately 2012 to 2023, a series of technical issues caused VMC to communicate inaccurate information to customers relating to the cost basis of their investments in account statements, trade confirmations, and in Forms 1099 in violation of FINRA Rules 2210, 4511 and 2010.

VMC failed to reasonably investigate red flags relating to the inaccurate information on these documents in violation of FINRA Rules 3110 and 2010.

VMC has agreed to a censure in addition to the fine of $950,000.

VMC has been a FINRA member since 1977. Its principal place of business is in Malvern, Pennsylvania. VMC has approximately 9,600 registered representatives operating out of approximately 175 registered branch locations.