NOTICE OF SUMMARY ACTION

FILE NO.:                             

RSRH-19-5611

MEMBER FIRM:

Citigroup Global Markets Inc. (Delta One)

CME
RULE VIOLATION:           

526.F. BLOCK TRADES

Unless otherwise agreed to by the principal counterparties to the block trade, the seller, or, in the case of a brokered transaction, the broker handling the block trade, must ensure that each block trade is reported to the Exchange within the time period and in the manner specified by the Exchange. The report must include the contract, contract month, price, quantity of the transaction, the respective clearing members, the time of execution, and, for options, strike price, put or call and expiration month. The Exchange shall promptly publish such information separately from the reports of transactions in the regular market.

MRAN RA-1906-5 (in part)

Market participants must accurately report the execution time of the block trade.

FINDINGS:                         

On ten occasions in September 2019, Citigroup Global Markets Inc. (Delta One) did not report a block trade with an accurate execution time or within the applicable reporting window to the Exchange. These block trades were executed in September 2019 S&P500 – Consumer Staples Sector Index, September 2019 S&P – Health Care Sector Index, December 2019 S&P500 – Consumer Staples Sector Index, December 2019 S&P500 – Health Care Sector Index, December 2019 S&P500 – Materials Sector Index, December 2019 S&P500 – Financial Sector Index, December 2019 S&P500 – Energy Sector Index, and December 2019 S&P500 – Consumer Discretionary Sector Index.  

PENALTY:                           

On November 4, 2019, pursuant to Rule 512, a fine in the amount of $3,000 was assessed against Citigroup Global Markets Inc. (Delta One) for its violation of CME Rule 526 and CME Rule 526.F.

EFFECTIVE DATE:             

November 21, 2019