State Street Fined $37.7 Million in U.K. for Hidden Fees
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State Street Corp.’s U.K. unit was fined 22.9 million pounds ($37.7 million) by the Financial Conduct Authority for charging clients “substantial” mark-ups without their consent.
State Street, the third-biggest custody bank, “developed and executed a deliberate strategy” to charge undisclosed fees on top of agreed management or commission payments at a unit that helps institutions restructure their investments, the FCA said in an e-mailed statement.