The Securities and Exchange Commission said Wednesday it had settled securities fraud and other charges with JPMorgan Securities Inc. and is pursuing charges against two of its former managing directors.

Charles LeCroy and Douglas MacFaddin refused to settle the investigation of municipal bond and swap transactions done with Jefferson County, Ala.

The unit of JPMorgan Chase & Co. agreed to pay a penalty of $25 million to the federal government and $50 million to Jefferson County, and it will forfeit more than $647 million of claimed termination fees.

In a complaint filed in federal court in Birmingham, Ala., the SEC said LeCroy and MacFaddin made more than $8 million in undisclosed payments to friends of Jefferson County commissioners to ensure that JPMorgan Securities would be designated managing underwriter of the bonds and its affiliated bank would be chosen as swap provider.

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