Leon Cooperman's Omega Advisors has settled with the U.S. Securities and Exchange Commission for $4.9 million.
The hedge fund admitted to no wrongdoing and chairman and CEO Cooperman will not be barred or suspended from the industry.
"I look forward to putting this matter behind me, with no restriction on my ability to invest and manage client assets, for much less than it would have cost to continue defending the case," Cooperman said in a statement to CNBC.
The SEC did not immediately return a CNBC request for comment.
Cooperman told CNBC in January that assets under management shrank by more than half to $3.4 billion.
The settlement was first reported by Dow Jones.
— CNBC's Leslie Picker contributed to this report.