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Morton and Reid each agreed to a $500,000 penalty and two year bans on serving as an officer or director.The settlement requires that $11 million of the proceeds be used to fund part of a proposed $29.5 million settlement in a related class action lawsuit, with all those funds destined for class members, and not lawyers fees.The class action settlement also requires the approval of an Ontario Superior Court judge. A hearing in that matter is scheduled for Aug. 21.The OSC confirmed that all the funds connected with the regulatory settlement reached Wednesday have been collected.Internal investigationThe problems at Home Capital came to the attention of the company senior leadership in mid 2014.

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