GREENWICH — Interactive Brokers Group, one of the country’s largest electronic broker-dealers, will pay a total of $38 million in penalties to three federal agencies to settle charges that it did not report suspicious trading activity and failed in its anti-money-laundering oversight for several years, regulators announced Monday.

The agreements comprise a penalty of $15 million that the Greenwich-based Interactive Brokers will pay to the Financial Industry Regulatory Authority and payments of $11.5 million each to the Securities and Exchange Commission and Commodity Futures Trading Commission to resolve the charges.

“Today’s action is a reminder that member firms must tailor their (anti-money-laundering) programs to the firms’ business model and customer base, and also dedicate resources to programs commensurate with their growth and business lines,” Jessica Hopper, FINRA’s executive vice president and head of enforcement, said in a statement. “FINRA will continue to take steps to ensure that firms comply with their obligation to monitor for, detect and report suspicious activity.”

Company officials had announced in April that they were cooperating with investigations by the SEC, FINRA and CFTC and that it could settle those probes.

They reiterated Monday their cooperation with those agencies.

“Interactive Brokers continuously works to enhance and strengthen our controls and makes significant investments to improve our Bank Secrecy Act and anti-money laundering programs,” said Kalen Holliday, the firm’s director of communications. “We are committed to ensuring that our programs meet all regulatory expectations, and our compliance staff have state-of-the-art systems at their disposal.”

From January 2013 through September 2018, Interactive Brokers grew into one of the largest electronic broker-dealers in the U.S. based on shares traded, and it cleared transactions for more foreign financial institutions than any other broker-dealer in the country, FINRA officials said.

But they said that as Interactive Brokers expanded, it did not allocate the resources needed to meet its anti-money-laundering obligations.

The company did not “reasonably” surveil hundreds of millions of dollars of its customers’ wire transfers for money-laundering concerns, FINRA said. Those wires included millions of dollars of third-party deposits into customers’ accounts from countries recognized as “high risk” by U.S. and international anti-money-laundering agencies, according to FINRA.

In addition, Interactive Brokers did not “reasonably” investigate suspicious activity when it discovered it because it lacked sufficient personnel and an appropriate case-management system, according to FINRA. Despite a compliance manager at the firm warning his supervisor that “we are chronically understaffed” and “struggling to review reports in a timely manner,” Interactive Brokers took years to significantly increase its staffing or bolster its systems to combat money laundering, FINRA said.

The SEC determined that during a one-year period Interactive Brokers failed to file more than 150 Suspicious Activity Reports to flag potential manipulation of “microcap” securities in its customers’ accounts.

“SAR filings are an essential tool in assisting regulators and law enforcement to detect potential violations of the securities laws, particularly in the microcap space,” Marc Berger, director of the SEC’s New York regional office, said in a statement. “Today’s multi-agency settlement reflects the seriousness we place on broker-dealers complying with their SAR reporting obligations and maintaining appropriate anti-money laundering controls.”

For the CFTC, the case marked the first time it had charged a violation of Regulation 42.2, which requires registrants to comply with the Bank Secrecy Act.

Alongside the penalty of $11.5 million, the CFTC also mandated that Interactive Brokers “disgorge” $706,214 earned, in part from its role as the futures commission merchant carrying the accounts of Haena Park and her companies, which faced CFTC enforcement in 2018.

In that case, a federal court ordered Park and her companies to pay more than $23 million in penalties and restitution for what they determined to be fraud and misappropriating investor funds. As Park’s FCM, Interactive Brokers failed to properly monitor her account activity, the CFTC said.

CFTC officials are also requiring Interactive Brokers to comply with other actions, including the hiring of a third-party compliance consultant to review and report on the anti-money laundering and supervisory issues raised in its order.

pschott@stamfordadvocate.com; twitter: @paulschott