Scottrade, Inc. agreed to pay a fine of US $200,000 and various undertakings to resolve an enforcement action brought by the Financial Industry Regulatory Authority regarding the firm’s alleged unauthorized sharing of information related to 300,000 customers in connection with a class action litigation. According to FINRA, on 36 occasions in 2012, Scotttrade disclosed the names and addresses of the customers in violation of an applicable rule of the Securities and Exchange Commission (Regulation S-P; click here for more details) that generally prohibits disclosure of nonpublic customer information unless a customer receives proper notice and an opportunity to opt out of the disclosure, and rules of FINRA and its predecessor (NASD Regulation Inc.). The information was disclosed to a claims administrator or a private law firm in connection with a class action lawsuit related to the purchases of Veolia Environnement S.A. American depository shares between April 27, 2007, and August 4, 2011. Both the claims administrator and the law firm had asked Scottrade to forward a form notice to the relevant customers or provide the customer information to them. Scottrade opted to forward the information voluntarily as the request was neither a subpoena nor a court order, said FINRA.