The banking giant Morgan Stanley has agreed to pay a $1.25 billion fine for selling toxic securities to the federally backed Fannie Mae and Freddie Mac. The money will go to the Federal Housing Finance Agency, which has sued Morgan Stanley and more than a dozen other firms for packaging and selling mortgage securities at inflated prices ultimately borne by U.S. taxpayers when the economy crashed in late 2008. Morgan Stanley is said to have falsely marketed over $10 billion in securities it sold to Fannie and Freddie. Also Tuesday, the financial giant JPMorgan agreed to a $614 million fine for thousands of flawed mortgages whose losses were ultimately covered by taxpayers. JPMorgan has paid the government over $20 billion in fines and penalties over the past year.