NOTICE OF SUMMARY ACTION

FILE NO.:

COMEX RSRH-22-6805

MEMBER FIRM:

Tradition Securities and Derivatives LLC  

COMEX 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-2204-5 (in part)

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

FINDINGS:

On seven occasions in December 2022, Tradition Securities and Derivatives LLC did not report block trades timely or with an accurate execution time to the Exchange.  These block trades were executed in December 2022 WK2 – Gold Weekly Friday Options and February 2023 Gold Futures.  

PENALTY:

On March 22, 2023, pursuant to Rule 512, a fine in the amount of $1,500 was assessed against Tradition Securities and Derivatives LLC for its violations of COMEX Rule 526 and COMEX Rule 526.F.

EFFECTIVE DATE:

April 10, 2023