Notice to Members
Notice No. 302 08/04/2005
Additional Public Member on the Adjudication Committee Panels
At its July 6, 2005 meeting, the Board of Directors approved the addition of a second public member on each Panel of the Exchange's Adjudication Committees. Further, both public members are required for a quorum. The Board had previously approved a similar addition to the Business Conduct Committees for both Divisions in March 2005. The additional public member will serve as an enhancement to the Exchange's self-regulatory program. The relevant changes to Rule 3.10 will be effective September 1, 2005. *     *    *    * (Boldface italics indicate additions; strikethroughs in bold indicate deletions) Exchange Rule 3.10, Adjudication Committee (A) The Adjudication Committee shall be a Regular Committee and shall consist of a Chairman who is a Class A Member and four Hearing Panels ("Hearing Panels"). Each panel shall contain at least two persons who are neither Members of the Exchange nor employed by a Member, Member Firm or the Exchange ("Public Committee Members") one non-Member and shall otherwise be balanced as equally as practicable among representatives of the Member categories: Floor Broker, Local, Trade and FCM (off-the-floor representative). There shall be no restriction on the affiliations or categories of alternates. The panel members and alternates shall be appointed by the Chairman, subject to approval of the Board. (B) (1) Two of the Hearing Panels shall be designated to hear matters pertaining to New York Mercantile Exchange Inc., ("NYMEX Inc.") and two of the Hearing Panels shall be designated to hear COMEX Division matters ("COMEX Hearing Panels"). Each panel shall consist of 10 regular panelists and as many alternates as the Chairman of the Committee shall designate. (2) The NYMEX Inc. members on the NYMEX Panels will consist of 70% Class A Members and 30% COMEX Division Members. The NYMEX Inc. members on the COMEX Hearing Panels will consist of 70% COMEX Division Members and 30 % Class A Members. (C) One person on each Hearing Panel shall serve as its Chairman and shall be designated by the Board as a Co-Vice-Chairman of the Adjudication Committee. Any sSix members of a Hearing Panel shall constitute a quorum for the purpose of exercising the powers of the Hearing Panel, provided that two Public Committee Members must be present. Alternates will be selected by the Chairman to replace any Member of a Hearing Panel unable to serve on any case, subject to the provisions of paragraph (A) above. (D) The Adjudication Committee shall hold such meetings as, in the discretion of the Chairman of the Committee are necessary to review matters pertaining to Exchange disciplinary actions, including but not limited to, Board policy and disciplinary precedents. (E) The Adjudication Committee shall make a report to the Board at least twice a year. The report shall detail the activities of the Committee for the period covered by such report and shall describe all disciplinary actions taken by the Committee during such period.
Should you have any questions or require any further information, please contact exchangeinfo@nymex.com