Federal regulators fined four companies for improper sales practices in an attempt to clean up mutual funds sales. The companies are to pay total of as much as $81 million in fines.

The Securities and Exchange Commission conducted a probe investigating major violations of the $7 trillion mutual fund industry.

Among others, Citigroup will pay a $20 million civil fine for improper sales practices. It is accused of taking secret payments from more than 70 mutual fund companies to recommend their products.

Putnam Investments is fined $40 million for hiding from its customers the information about the payments to brokers to recommend certain mutual funds.

Both companies neither admitted nor denied the wrongdoing.

Some analysts expect the situation around the issue to improve with the SEC’s involvement and investigations launched by some other regulators. "Since we’ve focused on this issue, we’ve seen positive changes at other firms in how these products are sold," Goldsmith said. "Practices have improved," said Barry R. Goldsmith, the National Association of Securities Dealers enforcement chief.

The Class B shares investigation was launched in 2003 on investors’ concern about being confused with the processes that happen to that kind of shares.