Seligman Finds Market Timing Arrangements

Seligman said its review of its records for the past three years uncovered three other timing arrangements that were terminated before the end of September 2002.

The company said it is “confident” that any financial impact of the arrangements on its funds was “minimal.” Seligman said it will make restitution to any fund that was harmed because of any illegal actions or violations of internal policies by the company or its employees.

Seligman said its compensation agreements with some brokerage houses that sell its funds and that execute buy and sell orders for them may have violated some rules. But Seligman said it is confident that its funds did not pay higher brokerage commissions in connection with the orders than it would otherwise have paid for comparable transactions.

Seligman said that last October it stopped placing buy and sell orders for its funds with brokerages that sell them in recognition of their fund sales.