UPDATE 1-Former F-Squared CEO must pay $12.4 mln in SEC case -U.S. judge

(Adds further details on ruling, background on case)

BOSTON, March 20 (Reuters) - The former chief executive of F-Squared Investments Inc, once the largest U.S. money manager creating portfolios out of exchange-traded funds, must pay more than $12.4 million for making false statements to investors, a federal judge ruled on Tuesday.

U.S. District Judge Leo Sorokin in Boston issued the order after a federal jury in October found former F-Squared CEO Howard Present liable in a lawsuit brought by the U.S. Securities and Exchange Commission.

The judge ordered Present disgorge more than $10.85 million in earnings plus and pay a nearly $1.56 million civil penalty. Sorokin also said an injunction was needed to ensure Present did engage in future violations given his "egregious" conduct.

"Present was reckless, his conduct was repeated, and he has never meaningfully acknowledged or appreciated his own misconduct," Sorokin wrote.

A lawyer for Present did not immediately respond to a request for comment.

The SEC sued Present in 2014 on the same day it announced F-Squared had agreed to pay $35 million and admit wrongdoing to resolve claims it misled investors by falsely advertising the performance of an investment product called AlphaSector.

At its height, F-Squared was one of the largest U.S. firms of its kind, with more than $28 billion invested with it, the SEC said. It filed for bankruptcy in 2015. (Reporting by Nate Raymond in Boston Editing by Tom Brown)