BBL COMMODITIES LP
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.
Pursuant to an offer of settlement BBL Commodities LP (“BBL”) presented at a hearing on September 30, 2015, in which BBL neither admitted nor denied the rule violation upon which the penalty is based, a Panel of the NYMEX Business Conduct Committee (“BCC”) found that it had jurisdiction over BBL pursuant to Exchange Rules 402 and 418, and that at the close of business on April 13, 2015, BBL held a futures equivalent position of 5,553 short May 2015 Brent Crude Oil Last Day Financial Futures contracts, which was 1,553 contracts (38.83%) over the standard expiration month limit, which was in effect for trade dates April 13, 14, and 15, 2015. BBL subsequently liquidated its overage position, resulting in profits of $195,384.40.
The Panel found that as a result, BBL violated Rule 562.
In accordance with the settlement offer, the Panel ordered BBL to pay a fine to the Exchange in the amount of $25,000 and disgorge profits in the amount of $195,384.40.
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