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RBS to pay $120 mln to resolve Connecticut mortgage bond probe

Oct 3 Royal Bank of Scotland Group Plc will pay $120 million to resolve a Connecticut state investigation into the bank's underwriting of toxic mortgage-backed securities ahead of the 2008 financial crisis, authorities said on Monday.

The deal, announced by Connecticut Attorney General George Jepsen and state Department of Banking Commissioner Jorge Perez, came as the bank has been seeking to resolve a series of probes and lawsuits over mortgage bonds. (Reporting by Nate Raymond in New York; Editing by Chizu Nomiyama)

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