In the months before it failed last year, the executive chairman of First Republic Bank sold more than $6.8 million worth of stock through Morgan Stanley. The bank has now settled an investigation that determined it failed to properly monitor the trades.

Morgan Stanley agreed to pay $2 million to settle the investigation by the Massachusetts securities regulator. The bank neither admitted nor denied wrongdoing.

The Wall Street Journal reported that the chairman and several executives at First Republic sold more than $12 million in stock in the months running up to a banking crisis last spring that led to the collapse of First Republic, the second-largest bank failure in U.S. history.

https://www.msn.com/en-us/money/companies/morgan-stanley-is-fined-over-first-republic-insider-sales/ar-AA1q7sOH?ocid=msedgntp&pc=LCTS&cvid=90f8367c425e44089853bad4037df9cc&ei=12

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