Morgan Stanley Fined $5 Million over Facebook IPO Leaks
Accused of telling some insiders about revenue problems at social media company, but not the general public
Massachusetts officials say they are fining investment bank Morgan Stanley $5 million for disclosing a revenue shortfall with analysts and institutional investors but not the general public ahead of Facebook's troubled IPO in May.
Facebook filed amended documents on May 9 with securities authorities, but Morgan Stanley organized phone calls with analysts to relay revenue figures that the amendments didn't include. Those numbers were lower than what many analysts had expected.
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