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Royal Bank of Scotland unit to pay $150 mln to settle U.S. SEC charges

WASHINGTON, Nov 7 (Reuters) - A unit of the Royal Bank of Scotland agreed to pay more than $150 million to settle civil charges alleging it misled investors in a financial crisis-era subprime mortgage product, U.S. regulators announced Thursday.

The Securities and Exchange Commission said the money it will collect from RBS Securities Inc would go toward compensating harmed investors.

The bank agreed to settle with the SEC without admitting or denying the charges, which allege that it misled investors about the quality of the underlying loans and the likelihood they would be repaid.