Nasdaq $40 Million Facebook Plan Anticompetitive, NYSE Says

Nasdaq OMX Group Inc.’s plan to earmark $40 million for brokers whose orders were mishandled in Facebook Inc.’s initial public offering will hurt competition, according to NYSE Euronext.

The second-biggest U.S. stock-exchange operator said yesterday that it would pay $13.7 million in cash, with the rest of the money credited through lower trading fees for members who took losses. That step was criticized by the New York Stock Exchange owner, which said it compels customers to trade on Nasdaq to get refunds. The Securities and Exchange Commission must approve Nasdaq’s plan before it can be implemented.