• NOTICE OF DISCIPLINARY ACTION

      • #
      • NYMEX 16-0515-BC
      • Effective Date
      • 14 June 2018
    • NON-MEMBER:

      PETER HOWARD

      EXCHANGE RULES: NYMEX Rule 575 – Disruptive Practices Prohibited (in part):

      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 the 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 Peter Howard (“Howard”) presented at a hearing on June 12, 2018, in which Howard neither admitted nor denied the rule violations upon which the penalty is based, a Panel of the NYMEX Business Conduct Committee (“BCC Panel”) found that on one or more occasions between October 2015 and February 2016, Howard entered orders in the Crude Oil futures contracts on the CME Globex electronic trading platform during the pre-opening session that were not for the purpose of executing bona fide transactions. The entry and subsequent cancellation of these orders caused fluctuations in the publicly displayed Indicative Opening Price (“IOP”).

      The Panel found that as a result of the foregoing, Howard violated Rule 575.A.

      PENALTY:

      In accordance with the settlement offer which took his financial condition into consideration, the BCC Panel suspended Howard from all direct or indirect access to any trading floor or electronic trading or clearing platform owned or operated by CME Group Inc., including Globex, for a period of 50 business days. The suspension will run from June 14, 2018 through August 23, 2018, inclusive.