NOTICE OF DISCIPLINARY ACTION

NON-MEMBER:

Libra Fearnley Energy

EXCHANGE RULE: RULE 526. – BLOCK TRADES

The Exchange shall designate the products in which block trades shall be permitted and determine the minimum quantity thresholds for such transactions. The following shall govern block trades:

F. 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.

CME GROUP MARKET REGULATION ADVISORY NOTICE RA1806-5:

Block Trade Submission Requirements to CME Clearing

Please note that the execution time of a block trade is the time that the parties agree to the trade. Market Participants must accurately report the execution time of the block trade. The reporting of inaccurate execution times may result in disciplinary action.

FINDINGS:

Pursuant to an offer of settlement that Libra Fearnley Energy (“Fearnley”) presented at a hearing on November 18, 2020, in which Fearnley neither admitted nor denied the findings or conclusions or any rule violations upon which the penalty is based, a Panel of the NYMEX Business Conduct Committee (“Panel”) found that during the time period of September 1, 2019 through September 30, 2019, Fearnley submitted multiple block trades to the Exchange with inaccurate execution times and also failed to report block trades to the Exchange within the required time period following execution.

The Panel found that as a result of the foregoing, Fearnley violated NYMEX Rule 526.F (“Block Trades”).

PENALTY:

In accordance with the settlement offer, the Panel ordered Fearnley to pay a fine to the Exchange in the amount of $40,000.