"The action announced today underscores FINRA's commitment to ensuring that firms live up to those obligations. We are particularly pleased that this unique settlement directs the bulk of the monetary sanction to the customers in arbitrations, to remedy MSDW's discovery failures." MSDW was merged into Morgan Stanley & Co. in April of this year. The former NASD, which consolidated with the member regulation functions of New York Stock Exchange Regulation in July to form FINRA, issued formal charges against MSDW in a complaint filed in December 2006.