Sending a Message "Investors expect and are entitled to informed, objective, and untainted recommendations from their brokers and their firms when it comes to which mutual funds to buy," said Mary Schapiro, NASD vice chairman and president of regulatory policy and oversight. "[These] enforcement actions send a clear message that those who choose to embrace commissions, higher payouts and extra bonuses over their duty to render conflict-free advice to their customers will be sanctioned in the strongest of terms." Morgan Stanley neither confirmed nor denied any wrongdoing in the settlement but agreed to pay $50 million in fines and relinquish profits. The company issued a statement expressing "regret" that its sales practices were inadequate. The recovered funds will be distributed to Morgan Stanley customers, regulators said.