Spitzer Makes a Deal With Deutsche Bank

New York, NY —

Deutsche Bank agreed to pay $208 million to end investigations into the timing of trading in mutual fund accounts that could benefit insiders, while hurting investors.

Attorney General Eliot Spitzer accused the bank of permitting excessive market timing in its mutual funds. Spitzer also accused the company of assisting in what he called deceptive timing and allowing a form of late trading by one client.

The company did not admit or deny the allegations, but agreed to reforms including disclosing expenses and fees to investors, as well as allowing independent officials to monitor operations to avoid conflicts of interest.