Banking giant Barclays (LON:BARC) is to pay US$13.75mln (£9.3mln) as it is hit with fresh allegations in the US.
The bank is to settle a US regulator’s claim that it switched some of its retail brokerage customers to inappropriate funds.
The alleged misconduct spanned five years and involved more than 6,100 transactions in which clients were switched from one mutual fund to a similar one.
Almost 40% of mutual fund transactions reviewed over a six-month period were found to be unsuitable, with 343 customers experiencing financial harm totalling more than US$800,000, including losses.
Barclays agreed to the settlement without admitting or denying the allegations, the regulator said.
The settlement includes US$10mln that will go to affected investors and a US$3.75mln fine, the Financial Industry Regulatory Authority said.
It follows last month’s fine of £72mln by the Financial Conduct Authority for failing to minimise the risk of potential financial crime.