UPDATE 1-E*Trade units to pay $2.5 mln to settle SEC charges over illegal sales
October 09, 2014 at 14:01 PM EDT
WASHINGTON, Oct 9 (Reuters) - A current and a former unit of E*Trade Financial Corporation will pay $2.5 million to settle charges that they ignored red flags and improperly sold billions of unregistered penny stock shares on behalf of customers, U.S. regulators said on Thursday.