The NASD, the US brokerage watchdog, has issued its largest fine to date for market timing, imposing a $1.5m (€1.2m) penalty on a unit of the Netherlands bank ING for allowing excessive mutual fund trading.

Reuters reports that ING disclosed the fine in a regulatory filing yesterday, after ING Funds Distributors, the unit in question, agreed to reimburse some of its funds $1.44m for losses, accepted an NASD censure and promised to set up processes that will prevent any further abuse.