A former broker with Morgan Stanley alleges in a whistleblower suit that the financial services company used a "pay-to-play" scheme in administering 401(k) accounts. Mark Mensack claims that these wrongful practices caused him to leave the firm after only about 16 months employment. Unsurprisingly, Morgan Stanley then sued Mensack to recover a sign-on bonus, a claim which a FINFRA arbitration panel upheld. Mensack sued FINFRA in his suit also.
Source: Reuters
