Merrill Lynch has agreed to pay $24.25 million in restitution after the state of New Hampshire said the company failed to supervise a broker who excessively traded on the account of the state’s former governor and his family.

The state also fined Merrill $1.75 million and tacked on another $250,000 in fees in its case against the company and its former agent, Charles E. Kenahan, who was permanently barred from the securities business in New Hampshire. Merrill must also put in place compliance measures to cover failures exposed by the investigation of the state’s Bureau of Securities Regulation.

It is the second settlement related to the activities of the broker, the first of which yielded $40 million in July 2019.

The New Hampshire bureau cited Merrill Lynch for failing to oversee Kenahan and that he “traded without authorization, mismarked trade confirmations, excessively traded stocks and initial public offerings, overcharged commissions, and inappropriately traded inverse and leveraged products.”

That excessive trading yielded rich commissions for Merrill Lynch and Kenahan, and meant heavy losses for the investor, the bureau said. Merrill let go of Kenahan in 2019 over complaints of excessive trading and unsuitable recommendations.

The Rye, N.H., investor wasn’t named in the bureau’s release, but it was former Gov. Craig Benson, who had gone public to CNBC with his complaints against Kenahan and his partner, Dermod Cavanaugh, whom he had followed to Merrill Lynch in 2007 from another broker-dealer.

Bank of America and Merrill Lynch had already settled a $40 million case related to Kenhan that involved Benson’s business partner Robert Levine. (Benson and Levine co-founded the network computer systems company Cabletron). Levine also made account churning complaints against Kenahan, and when put together, Levine and Benson claimed to CNBC that their market-adjusted losses came to $200 million.

“I certainly didn’t sign a document that said it’s OK to steal from me,” Benson told CNBC.

New Hampshire said in reference to Benson that even though he was knowledgeable about securities markets, “he entrusted Merrill Lynch and Kenahan to recommend investment strategies and securities utilized in the family accounts. One such recommendation was for the purchase of a company called Monitise, a low-priced stock not even followed by Merrill Lynch research. Kenahan repeated this conduct across multiple customer accounts. The New Hampshire investor lost millions of dollars in Monitise and in other low-priced stocks.”

The New Hampshire bureau said this was the largest monetary sanction in its history.