WASHINGTON, March 12 Jefferies LLC has agreed to
pay $25 million to resolve U.S. criminal and civil probes into
its mortgage bond trading, U.S. authorities said on Wednesday.
The U.S. Attorney's office in Connecticut said it had
entered into a non-prosecution agreement over Jefferies trading
in mortgage securities, including with funds created and funded
through a government program.
The Securities and Exchange Commission also said it charged
Jefferies, which is now part of Leucadia National Corp,
with failing to supervise its mortgage-backed securities desk
during financial crisis.
A federal jury on Friday found former Jefferies trader Jesse
Litvak guilty of defrauding clients on mortgage bond trades made
after the financial crisis.