NOTICE OF DISCIPLINARY ACTION

NON-MEMBER:

LEWIS WILLIAMS

NYMEX RULE VIOLATION:

EXCHANGE RULE 575.A. DISRUPTIVE PRACTICES PROHIBITED

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 that Lewis Williams (“Williams”) presented at a hearing on June 25, 2020, in which Williams neither admitted nor denied the rule violation upon which the penalty is based, a Panel of the NYMEX Business Conduct Committee (the “Panel”) found that, between January 2019 and March 2019, Williams engaged in disruptive trading activity in the Natural Gas Futures contract markets by entering orders without the intent to trade. Specifically, the Panel found that Williams typically entered a single larger order, or on certain occasions, multiple orders, on one side of the market and then cancelled them after resting smaller orders on the opposite side of the book were executed.

The BCC Panel found that, as a result, Williams violated Exchange Rule 575.A.

PENALTY:

In accordance with the settlement offer, the BCC Panel ordered Williams to pay a monetary fine in the amount of $40,000 and to serve a ten business day trading suspension from access to any trading floor owned or controlled by CME Group and from direct and indirect access to any designated contract market, derivatives clearing organization or swap execution facility owned or controlled by CME Group. The suspension shall run from June 29, 2020 through, and including, July 13, 2020.