Regulators say the Dutch bank did not disclose conflicts of interest that may have affected investment choices.

The company denies the charges and said it was cooperating with authorities.

New Hampshire regulators have ordered ING to stop any actions that may compromise the fund and said it will be seeking damages from the firm.

Dana Ripley, a spokesman for ING in the US, said ING had “received no improper or undisclosed fees in connection with the New Hampshire fund.”

“All relevant arrangements were disclosed in the product prospectus,” he added.

Wider claims

The companies involved in the charges are ING Financial Advisors and ING Life Insurance and Annuity Co.

As well as the allegations that ING was paid to recommend investment vehicles and tools from favoured companies, it also is accused of “market timing” and “late trading”.

Market timing involves moving money in and out of a fund quickly for ak business health insurance small gains, and is frowned upon in the industry because it increases costs and hampers the performance of the fund for its shareholders, analysts said.

Late trading is when share orders are placed for funds after the end of stock market hours but are executed at that day’s price and not the following session’s closing price.

An investigation into these practices amongst fund management companies and investment firms was launched in 2003 by New York State Attorney General Eliot Spitzer, resulting in insurance premium finance software fines.