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CFTC Enforcement Updates

AI Analysis

Executive Summary

The CFTC has announced enforcement updates, including civil monetary penalties and trading bans for spoofing in precious metals futures markets and misappropriating confidential information. These updates highlight the importance of compliance with CFTC regulations. Firms must ensure they are registered and comply with anti-spoofing and anti-fraud regulations.

What Changed

The CFTC has obtained federal court orders imposing civil monetary penalties and trading bans on individuals and firms for spoofing and misappropriating confidential information. The CFTC has also charged an unregistered commodity pool operator with fraud and registration violations.

Action Required

  • Verify registration with the CFTC at NFA BASIC before committing funds
  • Review and update anti-spoofing and anti-fraud policies and procedures
  • Ensure compliance with CFTC regulations regarding commodity pool operations and futures market participation

Key Dates

1 Sept 2021 CFTC enforcement action filed against Gregg Smith and Michael Nowak
10 Dec 2021 Department of Justice charged Peter Miller with conspiracy to commit commodities fraud
1 Jun 2024 Peter Miller sentenced to five months in prison and five months of home confinement
10 Dec 2024 Department of Justice charged Travis Ford with conspiracy to commit wire fraud

Non-Compliance Risk

Enforcement action, fines, trading bans, and registration revocation

Who is Affected

Commodity pool operatorsFutures market participantsBroker-dealersAsset managersHedge funds

Related Regulations

Commodity Exchange ActCFTC regulations

Summary

No description available.

Relevant Firm Types

Broker DealerAsset ManagerCrypto ExchangeAll Firms
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