NOTICE OF DISCIPLINARY ACTION

NON-MEMBER:

Jie Yu

CBOT RULE VIOLATION:

Rule 432 General Offenses (In Part)

It shall be an offense:

G. to prearrange the execution of transactions in Exchange products for the purpose of transferring equity between accounts.

FINDINGS:

Pursuant to an offer of settlement in which Jie Yu neither admitted nor denied the Rule violation or factual findings upon which the penalty is based, on September 19, 2023, a Panel of the Chicago Board of Trade Business Conduct Committee (“Panel”) found that from October 12, 2021, through November 9, 2021, Yu prearranged the execution of round-turn transactions in July 2024 Wheat futures, September 2022 and December 2022 Oats futures, and December 2024 Soybean Meal futures markets between an account owned by Yu and an account owned by another individual for the purpose of transferring funds from Yu’s account to the other individual’s account. The Panel concluded that Yu thereby violated CBOT Rule 432.G.

PENALTY:

In accordance with the settlement offer, the Panel ordered Yu to pay a $20,000 fine and to serve a six-month 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 begin on the effective date below and continue through and including trade date March 22, 2024. In levying the penalty, the Panel considered the Commodity Futures Trading Commission’s related disciplinary action and sanctions.

EFFECTIVE DATE:

September 22, 2023