NOTICE OF DISCIPLINARY ACTION

NON-MEMBER:

MIAO LIU

NYMEX RULES:

432. General Offenses (in part)

It shall be an offense:

L. 1. to fail to appear before the Board, Exchange staff or any investigative or hearing committee at a duly convened hearing, scheduled staff interview or in connection with any investigation.

S. to fail to comply with an order of the Board, Exchange staff, or any hearing committee.

FINDINGS:

On July 5, 2022, the Chief Regulatory Officer of CME Group’s Market Regulation Department issued charges against Miao Liu for violating Rules 432.L.1. and 432.S., based on allegations that Liu failed to appear before Exchange staff for a scheduled interview, and failed to comply with an order of the Business Conduct Committee to pay a $20,000 fine for violating Rules 534 and 539 (NYMEX 17-0752).

On December 15, 2022, a Hearing Panel Chair of the NYMEX Business Conduct Committee (“BCC”) first determined that Liu, having failed to submit a written answer to the charges issued against him, was deemed to have admitted the charge. Liu therefore waived his right to a hearing on the merits of the charges. Pursuant to Rule 408.F., a BCC Panel then found Liu guilty of committing the admitted charges and held a penalty hearing thereafter.

PENALTY:

Based on the record and the Panel’s findings and conclusions, the Panel permanently suspended Liu 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, as well as permanently restricted Liu from having a business affiliation with, be employed by or have a financial or beneficial interest in a Member or broker association.