BALTIMORE, MAY 25 -- A top Wall Street commodities trader was fined $1 million and ordered to pay another $1 million in restitution today after pleading guilty in federal court here to damaging ecologically sensitive wetlands on his 3,272-acre private hunting retreat on Maryland's Eastern Shore.

In what prosecutors called the largest financial penalty ever assessed against an individual in an environmental case, Paul Tudor Jones II, multimillionaire chief of Tudor Investment Corp., also was ordered to serve 18 months' probation.

U.S. District Judge Frederic N. Smalkin, a hunter himself, ordered Jones not to shoot any game birds or waterfowl between now and the end of 1991. "That's as close as you can come to restitution for them {the birds}," the judge said.

Jones agreed to a conservation easement that permanently restricts commercial development on 2,500 acres of the retreat, called Tudor Farms.

According to a statement of facts filed by prosecutors Jane F. Barrett and Ethan Bauman, Jones and the manager of the property ignored repeated warnings and orders from the Army Corps of Engineers to stop filling in wetlands with sand and other materials.

Jones admitted to Smalkin that "there were mistakes made . . . . I was negligent."

Jones's attorney, Michael Schatzow, said Jones can pay the $2 million "virtually immediately."

A fabled whiz kid and speculator on New York's supercharged securities markets, Jones, now 35, was the top Wall Street earner in 1987 with $80 million, according to Financial World magazine estimates. The magazine ranked him 19th the next year, when his earnings fell to $30 million.

Schatzow said Jones's commodities trading license probably is not jeopardized because he was convicted of a misdemeanor, not a felony.

While pleading guilty, Jones portrayed himself as an avid environmentalist, saying that he has created more wetlands at Tudor Farms than he destroyed. In a statement, he said he hopes to turn the sprawling property in Dorchester County into a "wildlife management . . . showcase."

Jones attributed much of the wetland destruction to his failure to supervise William B. Ellen, then the manager of the property, who has been indicted on six felony charges.

Ellen, 44, now a consulting engineer in Matthews, Va., is accused of violating the federal Clean Water Act by filling in more than 86 acres of wetlands with dirt and other materials without permission. He is also accused of putting fill material in a navigable waterway without a permit, in violation of the federal Rivers and Harbors Act.

Ellen is accused of violating the law knowingly, but Jones was charged only with negligent violation -- that is, failing to use "ordinary care" in avoiding breaking the law.

Ellen's attorney, Benjamin S. Sharp, said Ellen "denies he committed any violations of environmental laws."

Jones could have been imprisoned up to one year and fined $3 million on the one misdemeanor count to which he pleaded guilty today. He negotiated a plea agreement in which prosecutors recommended he be fined $1 million and jailed for "zero to six months."

Smalkin said imprisoning Jones "would serve no societal purpose." He said publicity about Jones's sentence should help deter violations of wetlands laws.

Steve Bunker, a spokesman for the Chesapeake Bay Foundation, a conservation group, agreed it will "send a message not to fill in wetlands."

Through his company, Jones bought the 3,272 acres in Dorchester from 1987 to 1989 and began developing it as a private hunting ground. Tudor Farms lies in central Dorchester County near the Blackwater National Wildlife Refuge on Maryland's lower Eastern Shore.

According to a six-page news release given out by Tudor Investment public relations workers in federal court today, Jones also plans a "large-scale conservation management effort" on the property, "providing scientific research opportunities for students, environmental organizations and the government."

In contrast to descriptions of the property as an "outstanding wildlife sanctuary" studded with newly created ponds, 55,000 shrubs and other features carefully planned by architects and landscape designers, prosecutor Barrett said "destruction and devastation" caused by roads and other development "was pervasive." Aerial photos looked "like a moonscape," she said, "and there was no evidence that this was a planned or orderly development."

Wetlands -- flat marshy or boggy areas -- serve various ecological functions, including providing habitats for birds and mammals, nutrition for aquatic life and filtration of pollutants in water runoff. Commercial and residential encroachment of wetlands has prompted Congress to limit development.

Schatzow said Jones was accused only of putting "natural materials," such as sand and dirt, in the wetlands.

That may be so, said Barrett, "but dirt can destroy a wetland." Outside of court, she said that it takes 75 years of "intensive management" to restore damaged wetlands to their original condition. She said 1,700 acres of Jones's 3,272-acre tract is wetlands.

Schatzow argued that 14.8 acres, not 86, were harmed and that five of those acres have been restored. Jones created another 50 acres of wetlands, he said.

He said Ellen "lied repeatedly" to Jones about conditions at the property. Jones was unable to supervise Ellen closely because of the press of business in New York, he added.

A story about Jones in the Wall Street Journal two years ago called him "the most-watched, most-talked-about man on Wall Street these days." It said "he woos the important and the famous by flying them on his jet to hunting weekends on his 3,000-acre wildlife preserve on Chesapeake Bay."

Describing Jones as "an aspiring member of Manhattan's high society," the article went on to say that on weekends he threw "elaborate parties at his Chesapeake Bay estate in Virginia, which is complete with staff of three, formal garden, swinmming pool, rare-animal collection and state-of-the-art price-quote machine." The story said the estate was "across the bay" from Jones's Maryland wildlife preserve.

Defense attorney Schatzow described Jones today as a "passionate conservationist and outdoorsman" who has donated millions to charities for poor urban families.