NOTICE OF SUMMARY ACTION

FILE NO.:             

CBOT RSRH-22-6475

MEMBER FIRM:

TFS Derivatives Ltd  

CBOT 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-2109-5 (in part)

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

FINDINGS:

On two occasions in January 2022, TFS Derivatives Ltd did not report block trades in a timely manner or with an accurate execution time to the Exchange. These block trades were executed in February 2022 Black Sea Corn Financially-Settled (Platts) Futures and March 2022 Corn Futures.  

PENALTY:

On July 27, 2022, pursuant to Rule 512, a fine in the amount of $1,000 was assessed against TFS Derivatives Ltd for its violations of CBOT Rule 526 and CBOT Rule 526.F.

EFFECTIVE DATE:

August 12, 2022