• Amended Notice of Summary Access Denial Action

      • #
      • CME-18-0856
      • Effective Date
      • 13 June 2018
    • FILE NO.:

      CME 18-0856

      NON-MEMBER:

      HANA FINANCIAL INVESTMENT

      CME RULES: 413. SUMMARY ACCESS DENIAL ACTIONS (in part)

      413.A. Authority to Deny Access

      The Chief Regulatory Officer or his delegate, upon a good faith determination that there are substantial reasons to believe that such immediate action is necessary to protect the best interests of the Exchange, may order that: 1) any party be denied access to any or all CME Group markets; 2) any party be denied access to the Globex platform; 3) any party be denied access to any other electronic trading or clearing platform owned or controlled by CME Group; or 4) any Member be immediately removed from any trading floor owned or controlled by CME Group.

      FINDINGS:

      On May 21, 2018, CME Group’s Market Regulation Department (“Market Regulation”), through its Chief Regulatory Officer, summarily denied Hana Financial Investment (“Hana”) direct and indirect access to all CME Group markets, including the CME Globex electronic trading platform (“Globex”), any other electronic trading or clearing platform owned or controlled by CME Group, and all trading floors owned or controlled by CME Group. The summary access denial prohibited Hana, and anyone through Hana accounts, from trading, placing orders, and controlling or directing the trading for any person, entity, or account in any CME Group exchange product. Notwithstanding the foregoing, open positions at Hana’s clearing firms were permitted to be liquidated by the clearing firms upon the request of Hana or Hana’s customers.

      Since May 21, 2018, Hana has demonstrated to Market Regulation an ability to comply with exchange rules with respect to its proprietary trading activities.

      ACCESS DENIAL:

      Pursuant to Rule 413, the Chief Regulatory Officer hereby amends this access denial, effective beginning on the opening of trading for trade date June 13, 2018, to permit Hana to trade for its proprietary trading accounts. The remainder of the access denial dated May 21, 2018, will remain in effect and continues to prohibit anyone from trading, placing orders, and controlling or directing the trading for any person, entity, or account in any CME Group exchange product through Hana, except as noted above, through and including July 20, 2018. The Chief Regulatory Officer or his delegate may provide written Notice that the access denial will be extended for an additional period of time.

      EFFECTIVE DATE:

      June 13, 2018