Today, the SEC filed complaints against mutual fund company Putnam Investment Management and two of its former managing directors. It’s the latest in a string of questionable dealings that the SEC and state lawmakers, most notably, Elliot Spitzer, have uncovered.

How big is the problem? Ninety-five million Americans invest their rainy day savings and retirement dollars in the $7 trillion mutual fund industry. For an already highly-regulated industry, regulators have found plenty of unsavory dealings, from what’s called “late trading” to “market timing,” which have cost small shareholders up to billions of dollars.

Tonight, On Point, the mutual fund industry under fire, and what it means for small investors.

Guests:

Tom Lauricella, Wall Street Journal reporter who covers the mutual fund industry

Tamar Frankel, law professor at Boston University and co-author of “The Regulation of Money Managers” and “Securitization and Investment Management Regulation”

Mercer Bullard, founder and CEO, Fund Democracy, an advocacy group for mutual fund shareholders. He is assistant professor of law, University of Mississippi and former assistant chief counsel in the SEC’s Division of Investment Management.

Tim Forde, vice president for Strategic Planning of the Investment Co. Institute, which represents investment companies