• NOTICE OF DISCIPLINARY ACTION

      • #
      • CBOT-15-0263-BC
      • Effective Date
      • 04 December 2017
    • FILE NO.:

      CBOT 15-0263-BC

      MEMBER:

      Patrick Boyle

      CBOT RULE  VIOLATION:

      Rule 575.A. (DISRUPTIVE PRACTICES PROHIBITED)

      All orders must be entered for the purpose of executing bona fide transactions. Additionally, all non-actionable messages must be entered in good faith for legitimate purposes.

      A. No person shall enter or cause to be entered an order with an intent, at the time of order entry, to cancel the order before execution or to modify the order to avoid execution.

      FINDINGS:

      Pursuant to an offer of settlement in which Patrick Boyle (“Boyle”) neither admitted nor denied the rule violations upon which the penalty is based, on November 30, 2017, a Panel of the Chicago Board of Trade Business Conduct Committee (“Panel”) found that on various dates between January 2015, and June 2015, Boyle entered and canceled crossed-market orders in the CBOT Wheat, Corn, Soybean Meal and Soybean markets on the Globex electronic trading platform during the pre-opening period for the purpose of identifying the depth of the order book or to determine the amount of volume pressure necessary to shift the market. This activity caused fluctuations in the publicly displayed Indicative Opening Price. The Panel concluded that Boyle thereby violated CBOT Rule 575.A.

      PENALTY:

      In accordance with the settlement offer, the Panel ordered Boyle to: 1) pay a $20,000 fine; and 2) serve a ten-business day suspension of any access to any CME Group Inc. trading floor and of direct and indirect access to all electronic trading and clearing platforms owned or controlled by CME Group Inc., including CME Globex. The suspension shall run from December 11, 2017, through December 22, 2017, inclusive.

      EFFECTIVE DATE:

      December 4, 2017