02/28/2001
* * * *
[Asterisks indicate additions; brackets indicate deletions
Rule 8.03. SETTLEMENTS
(A) When the Compliance Department concludes that a Rule violation has occurred, and at any time prior to the submission of an Investigative Report to the Business Conduct Committee, the Compliance Department may negotiate with the Respondent and enter into a written Offer of Settlement with the Respondent. The Respondent may agree, without admitting or denying a Rule violation, to an Offer of Settlement which may provide for a cease and desist order, a censure, ** an order directing restitution to any injured person, ** and a fine of not more than $5,000 for each Rule violation alleged, or any combination of such penalties. Any such settlement is subject to the approval of the Business Conduct Committee.
[Sections (B) and (C) remain unchanged.]
(D) Any Offer of Settlement agreed to under Sub-Sections (B) or (C) of this Rule may provide for a cease and desist order, a censure, ** an order directing restitution to any injured person,** a fine not to exceed $25,000 for each Rule violation alleged, an expulsion or suspension from all or some rights and privileges of membership, the ability to hold a permit, Electronic Trading Privileges, employment on the Exchange Floor or employment for the purpose of entering orders on NYMEX ACCESS for a period not to exceed three (3) months for each Rule violation alleged, or any combination of such penalties.
[Section (E) remains unchanged.]
Rule 8.08. SETTLEMENT BY THE ADJUDICATION COMMITTEE
(A) If the Respondent wishes to settle a matter at any time after the filing of the complaint with the Chairman of the Adjudication Committee, the Respondent may submit a written settlement offer. The settlement offer will be directed to the NYMEX Division Hearing Panel or the COMEX Division Hearing Panel, as applicable, that has not been assigned the case to hear and decide. The Compliance Department may recommend to that Hearing Panel an approval or a rejection of any settlement offer. Such offer may provide for the issuance of a cease and desist order, a censure, ** an order directing restitution to any injured person, ** a fine not to exceed $250,000 for each violation alleged to have been committed, an expulsion or suspension from all or some rights and privileges of membership, the ability to hold a permit, electronic trading privileges, employment on the Exchange Floor, or employment for the purposes of entering orders on NYMEX ACCESS or any combination of such penalties.
[The remainder of the Rule remains unchanged.}
Rule 8.11 DECISION
[Sections (A) through (J) remain unchanged.]
(K) If the Hearing Panel determines to order the imposition of a penalty, the penalties which may be imposed are any one or combination of the following: the issuance of a cease and desist order, a censure, ** an order directing restitution to any injured person, ** a fine of not more than $250,000 for each Rule violation found to have been committed, an expulsion or a suspension from all or some rights and privileges of membership, the ability to hold a permit, Electronic Trading Privileges, employment on the Exchange Floor, or employment for the purposes of entering orders on NYMEX ACCESS.
[The remainder of the Rule remains unchanged.]
Rule 8.55. CLASSIFICATION OF OFFENSES
Offenses against the Exchange shall be classified as major offenses and minor offenses. Major offenses shall be punishable by **one or more of the following:** expulsion, suspension **from all or some rights and privileges of membership, the ability to hold a permit, Electronic Trading Privileges, employment on the Exchange Floor, or employment for the purposes of entering orders on NYMEX ACCESS,** a fine of not more than $250,000, **cease and desist order, or an order directing restitution to any injured person.** [or by both suspension and fine]. Minor offenses shall be punishable by **one or more of the following:** a fine of no more than $10,000 **cease and desist order, order directing restitution to any injured person** or suspension for not more than one year ** from all or some rights and privileges of membership, the ability to hold a permit, Electronic Trading Privileges, employment on the Exchange Floor, **or employment for the purposes of entering orders on NYMEX** ACCESS ** [; or both]. Unless good cause is shown, any offense involving fraudulent or deceitful trading practices detrimental to a customer’s order shall be a Major Offense and shall be punishable, at a minimum, with a suspension or revocation of the Member's or NYMEX ACCESS Operator's right to execute customer orders.
[The remainder of the rule remains the same.]