BNY Mellon agreed to pay $3 million to resolve a Massachusetts Securities Division investigation into a failure of its accounting system after an upgrade in 2015 led to inaccurate mutual fund pricing. BNY Mellon was unable to calculate the net asset value of approximately 1,200 funds, causing improper pricing that affected 66 institutional clients. BNY Mellon said it's not aware of any investor losses that resulted and that it calculated net asset values using other methods. Massachusetts Secretary of State William Galvin said "It was very sloppy bookkeeping" on BNY Mellon's part, however the Securities Division also stated the company implemented reforms to its internal controls after the problem occurred.
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