The AMP Ltd (ASX: AMP) share price has been continuing to slip throughout the day.
This comes as the Federal Court handed down its verdict regarding AMP's plan service fee charges to its customers.
At market open, the financial services company's shares kicked off at $1.21 apiece.
However, news broke out about the court outcome and investors have been selling down AMP shares since.
Currently, the share is down 2.07% to $1.185.
In contrast, the S&P/ASX 200 Index (ASX: XJO) is up 1.19% following modest gains on Wall Street overnight.
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What happened?
According to AMP's release, the Federal Court of Australia handed down a $14.5 million fine to the company after it wrongly charged more than 1,500 customers.
AMP wrongly charged more than 1,500 customers in advice service fees despite knowing that these customers had no access to the paid service.
The Federal Court alleges that AMP took over $600,000 in advice service fees from customer superannuation accounts.
The hefty fee is closer to what ASIC sought which was $17.5 million compared to AMP's suggested $4.6 million penalty.
AMP said that the fine has already been provisioned in its 30 June 2022 half-year financial statements.
About the AMP share price
Despite heading south today, the AMP share price has travelled 25% higher over the past 12 months.
On the other hand, the S&P/ASX 200 Financials (ASX: XFJ) sector is down 5% since this time last year.
AMP has a price-to-earnings (P/E) ratio of 29.33 and commands a market capitalisation of roughly $3.95 billion.
