CUSTOMER ALLEGES UNSUITABILITY WITH RESPECT TO FA'S HANDLING OF HIS ACCOUNT. CUSTOMER ALLEGES UNSPECIFIED DAMAGES.

MERRILL LYNCH FOUND MS. JOHNSON'S CLAIMS TO BE WITHOUT MERIT.

CUSTOMER ALLEGES UNSUITABLE INVESTMENTS.

$188,000.00

$75,000.00

THIS MATTER WAS SETTLED TO AVOID THE TIME, EXPENSE AND UNCERTAINTY OF LITIGATION.

THE CLAIMANTS ALLEGE THE FA MADE UNSUITABLE INVESTMENTS AND ENGAGED IN UNAUTHORIZED TRADING. THE CLAIMANTS ALSO ALLEGE THE FA FAILED TO FOLLOW CLIENT INSTRUCTIONS.(1999-2001)

$230,429.75

$10,000.00

THE CLAIMS WERE SETTLED WITH NO ADMISSION OF LIABILITY OR WRONGDOING TO AVOID THE TIME AND EXPENSE OF A HEARING.

CUSTOMER IS A RETIRED BLUE COLLAR WORKER WHO ROLLED HER PENSION INTO A SELF-DIRECTED IRA. IN 1999 SHE SWITCHED HER INVESTMENTS FROM LADDERED BONDS TO A EQUITY PORTFOLIO OVER WHICH SHE GAVE THE REGISTERED REPRESENTATIVE DISCRETIONARY AUTHORITY. CUSTOMER CLAIMS THAT SHE DID NOT KNOW THAT THE MARKET COULD TURN SO FAST, OR THAT SHE COULD LOSS SO MUCH MONEY SO QUICKLY. MERRILL LYNCH MADE ABUSINESS DECISION TO SETTLE THIS MATTER.

$112,055.00

$50,000.00

MERRILL LYNCH AND BENIUSH DENY ANY INTENTIONAL WRONGDOING. BENIUSH BELIEVED THAT CUSTOMER UNDERSTOODRISKS INVOLVED IN TRADING EQUITIES. MERRILL LYNCH AND BENIUSH AGREED TO SETTLE THIS MATTER TO AVOID THE COST AND UNCERTAINTY OF THREATENED LLITIGATION.