FRANKFURT, June 20 (Reuters) - Germany has fined

Citigroup ( C/PN ) nearly 13 million euros ($13.94 million) for lapses in

its trading system controls, the nation's bank regulator said on

Thursday, as its consumer protection division imposed its

largest penalty ever.

It is related to a mishap in 2022 involving $1.4 billion in

mistaken sell orders in equities, an event that riled markets

and for which Citigroup ( C/PN ) was already fined 61.6 million pounds

($78.24 million) by British authorities in May.

Citi on May 2, 2022 processed a $444 billion order that was

meant to amount to just $58 million, prompting $1.4 billion in

mistaken sell orders, according to British regulators' findings.

Authorities in both Britain and Germany have said the error

was a single trader's input mistake, known as a "fat-finger"

error.

German regulator BaFin said that Citigroup Global Markets

Europe AG had "failed to ensure that erroneous orders were not

transmitted".

Such mistakes can "trigger or at least contribute to market

disruption," BaFin said.

Citigroup ( C/PN ) in Frankfurt said it had taken "steps to

strengthen our systems and controls, and remains committed to

ensuring full regulatory compliance".

"We are pleased to resolve this matter from more than two

years ago, which arose from an individual error that was

identified and corrected within minutes," Citigroup ( C/PN ) said.

($1 = 0.9325 euros)

($1 = 0.7873 pounds)

(Reporting by Tom Sims and Alexander Huebner, Editing by

Madeline Chambers and Shinjini Ganguli)