05:26 PM EST, 01/13/2025 (MT Newswires) -- (Updates with Robinhood's response in the fifth paragraph.)

Robinhood Markets' ( HOOD ) broker-dealers Robinhood Securities and Robinhood Financial will pay $45 million in combined civil penalties to settle US Securities and Exchange Commission charges linked to their brokerage operations, the SEC said Monday.

Robinhood Securities will pay a $33.5 million penalty, while Robinhood Financial will pay a $11.5 million penalty, the agency said.

"Two Robinhood firms failed to observe a broad array of significant regulatory requirements, including failing to accurately report trading activity, comply with short sale rules, submit timely suspicious activity reports, maintain books and records, and safeguard customer information," said Sanjay Wadhwa, acting director of the SEC's Division of Enforcement.

Both firms acknowledged specific findings outlined in the order and accepted censure, according to the SEC. Additionally, each firm committed to performing an internal audit to address compliance with off-channel communications, the agency said.

"We are pleased to resolve these matters. As the SEC's order acknowledges, most of these are historical matters that our broker-dealers have previously addressed," Robinhood Markets ( HOOD ) General Counsel Lucas Moskowitz.