Nasdaq announced plans Wednesday for a payout of up to $40 million to compensate clients affected by tech glitches in Facebook's initial public offering. Pending review by the Securities and Exchange Commission, $13.7 million in cash will go to its member firms, while the rest of the pot will be credited to member firms to reduce trading costs. The move is meant to heal the company's reputation and quell investor anger ignited over delays and confusion in the first few hours Facebook hit the market May 18. According to The New York Time's Deal Book, member firms will have to prove that they were directly harmed by Nasdaq's technical glitches in order to qualify for compensation.
