Washington, D.C. – Sempra Energy Trading LLC has been penalized $175,000 by the U.S. Commodity Futures Trading Commission (CFTC) for trading card violations related to natural gas futures trades executed on the New York Mercantile Exchange (NYMEX). The settlement was announced on September 4, 2008.
The CFTC order details that between August and November 2004, Sempra’s floor brokers failed to accurately prepare trading cards for “EFS” trades – exchanges of futures for swaps. These trades occurred outside of permitted trading hours, resulting in inaccurate trade date reporting and chronological order violations on the trading cards, which are required to be submitted to the exchange.
The violations involved several hundred lots and were deemed significant enough by the CFTC to warrant a civil penalty. The order states that Sempra is liable for the actions of its floor brokers, who were acting within the scope of their employment at the time of the infractions.
The CFTC acknowledged the assistance of NYMEX staff during the investigation. The case was handled by Nathan Ploener, David Oakland, Manal Sultan, Michael Penick, David MacGregor, Lenel Hickson, Jr., Vincent A. McGonagle, and Stephen J. Obie of the CFTC’s Division of Enforcement.
The penalty is intended to deter future violations of CFTC regulations concerning accurate trade reporting and ensure the integrity of the natural gas futures market.
Source: CFTC.gov
Related Federal Cases
- Alphabet Inc., Antitrust Violations, District of Columbia 2023 · New York
- Commodity Futures Trading Commission, Investor Fraud, District of Columbia 2024 · New York
- Starberry Limited, Unregistered Forex Trading Firm, District of Columbia 2022 · New York
- FG/Cents Projects Ltd, Forex Trading Scheme Fraud, District of Columbia 2019 · Washington
- James McDonald, Forex Trading Scheme, District of Columbia 2018 · New York
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News