• NOTICE OF DISCIPLINARY ACTION

      • #
      • NYMEX 16-0570-BC
      • Effective Date
      • 01 September 2017
    • NON-MEMBER:

      CONDOR ALPHA ASSET MANAGEMENT

      NYMEX RULE VIOLATION: 562. POSITION LIMIT VIOLATIONS

      Any positions in excess of those permitted under the rules of the Exchange shall be deemed position limit violations.

      FINDINGS:

      Pursuant to an offer of settlement Condor Alpha Asset Management (“Condor”) presented at a hearing on August 30, 2017, in which Condor neither admitted nor denied the rule violation upon which the penalty is based, a Panel of the NYMEX Business Conduct Committee (“BCC”) found that, on trade date November 28, 2016, Condor held a futures equivalent net long position of
      2,879.25 contracts in December 2016 Henry Hub Natural Gas Look-Alike Last Day Financial Futures (“DEC16 HH”), which was 879.25 contracts, or 43.963%, in excess of the approved hedge exemption in effect for trade date November 28, 2016. On November 28, 2016, Condor liquidated its overage position, resulting in profits of $17,400.00.

      The Panel found that as a result, Condor violated Rule 562.

      PENALTY:

      In accordance with the settlement offer, the Panel ordered Condor to pay a fine to the Exchange in the amount of $25,000 and to disgorge profits in the amount of $17,400.00