WASHINGTON — In one of the largest consumer payouts of its type, MoneyGram International Inc. has agreed to fork over $18 million to the Federal Trade Commission to settle charges that it knowingly allowed its operation to be used by con artists to swindle U.S. consumers out of millions of dollars.

"This is a pretty significant amount of money to return to consumers," said FTC Chairman Jon Leibowitz.

The money the FTC is getting from MoneyGram will go directly to provide relief to victims. If you've been one, call 202-326-3755. The payout will be on a pro rata, or calculated, basis. The FTC is still working on how to verify claims and when people will be paid.

The FTC alleged that MoneyGram knew that its system was being used to defraud people but didn't do enough about it, and that in some cases MoneyGram agents actually participated in the schemes.

The FTC said that from 2004 to 2008, telemarketers and others using MoneyGram's system convinced consumers to wire them more than $84 million within the United States and to Canada. And that's just what people reported they lost. The actual amount could be much higher.

"They (MoneyGram) were involved in facilitating all these transfers," Leibowitz said. "It was easier to go after them than the individual scammers."

MoneyGram did not admit to any wrongdoing.

"We do not want to get into discussions about the individual allegations made by the FTC," Lynda Michielutti, MoneyGram's director of corporate communications, wrote. "Suffice to say, we do not agree with the FTC's claims."

Michielutti said the company's anti-fraud department has stopped millions in frauds and worked closely with authorities.

"However, we believed that it was in the best interest of our company and our consumers to put this matter behind us and focus our resources on delivering our valued service to consumers rather than battling it out through a long and costly trial," she said.

Crooks use a number of schemes that involve money transfers through companies such as Western Union and MoneyGram, the FTC says. Money transfers are virtually the same as sending cash: Once you make a transaction, there is no way you can reverse it or trace the money.

In one type of money wire scheme, someone receives a notice that he or she has won thousands of dollars in a lottery. But to collect the money, the person is told to pay a fee for taxes or customs, or to have a third party collect the winnings.

The FTC's complaint alleges that MoneyGram disregarded warnings from law enforcement officials and even its own employees that rampant fraud was being conducted over its network. The Minneapolis-based MoneyGram has 180,000 agents with locations in nearly 190 countries and territories.

As part of the settlement, MoneyGram agreed to beef up its anti-fraud program. The FTC said the company must conduct background checks on prospective agents; educate and train its employees about consumer fraud; institute agent monitoring; and discipline agents who don't comply with the rules. The order also requires MoneyGram to provide a clear and conspicuous warning on the front of all its money transfer forms.